What Is Commitment In Behavioral Economics?

Commitment bias is a cognitive bias that occurs when people have a tendency to stick with their initial decisions, even when new information becomes available that suggests that a different decision would be more beneficial. This bias can cause people to be overly committed to their initial choices, and can make it difficult for them to change course or adapt to new circumstances. Commitment bias can lead people to make suboptimal decisions and can be difficult to overcome. To avoid this bias, it is important to regularly reassess one’s decisions and to be open to new information and alternative choices. Understanding commitment bias can be useful for policymakers and businesses who want to design policies and products that encourage people to make decisions that are flexible and adaptable.

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