What Is Opt-in In Behavioral Economics?

In behavioral economics, opt-in refers to a situation where individuals must actively choose to participate in a program or policy. For example, in the case of an opt-in pension plan, employees would have to actively enroll in the plan and choose to contribute a portion of their salary to their retirement savings. In contrast, an opt-out plan would automatically enroll employees and require them to actively choose to opt out if they do not want to participate.

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