30/2010 Patricio Dalton and Sayantan Ghosal

We develop a model of decision-making with endogenous frames and contrast the normative implications of our model to those of choice theoretic models in which observed choices are determined by exogenous frames or ancillary conditions. We argue that, frames, though they may be taken as given by the decision-maker at the point when choices are made, matter for both welfare and policy purposes .

Behavioural Economics and Wellbeing

Social Choice and Welfare

http://dx.doi.org/10.1007/s00355-011-0623-5