Heuristics in Numerical Cognition: Implications for Pricing

  title={Heuristics in Numerical Cognition: Implications for Pricing},
  author={Manoj. T. Thomas and Vicki G. Morwitz},
In this chapter we review two distinct streams of literature, the numerical cognition literature and the judgment and decision making literature, to understand the psychological mechanisms that underlie consumers' responses to prices. The judgment and decision making literature identifies three heuristics that manifest in many everyday judgments and decisions - anchoring, representativeness, and availability. We suggest that these heuristics also influence judgments consumers make concerning… 

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