Endowment effect
The endowment effect ( German endowment effect ) states that the perceived value of a good is higher when one owns it. 1980 was Richard Thaler this effect his name. In negotiation situations can thus the willingness to pay ( willingness to pay ) be less than the objective value of the goods. On the other hand, it is also true, a willingness to sell ( willingness to accept ) is lower and a higher price is demanded, as the estate is objectively worth.
Areas of application
For the economic practice have different insertion points.
Very well known is an experiment with cups, which was conducted by Daniel Kahneman 1991. He formed two groups. The first group ( the sellers ) he gave cups and asked them what price between $ 9.25 and $ 0.25 they would require to sell the cup. The participants of the second group were asked what price they would pay to get the cup. The price of "selling group " was an average of $ 7.12, while the price of just lay " buying group " at $ 2.87.
In another experiment, it was about a ticket to a basketball game. Since the university and the basketball Hall of the University are small, there is regularly a large number of unfortunates who, despite long queues to receive a ticket. The staff at Dan Ariely and Ziv Carmon then behaved as ticket scalpers and asked ticket holders for how much money they would sell their ticket - an average of $ 2,400 were called. Students without a ticket were willing to pay $ 170 for a ticket on average. The ticket-holders to justify the high prices often with the meaning of the game ( eg that they are so indulged an important experience from which they could also tell their children and grandchildren ). The requested person without a ticket put the funds rather in relation to other monetary amounts, drink, such as spending on a night out or beer.
After the endowment is ( under constant all other factors) the willingness to tax higher when the tax must be paid. It is lower if the taxpayer had paid in advance and therefore can expect a refund.
Provocative you can also ask, " Have you got your girlfriend because you love her or do you love them because you have them? " ( According to Dr. Ivo Bischoff ).