article - cultural differences in endowment effect

Question 1

endowment effect

Answer 1

• tendency for owners to value objects more than buyers
• loss aversion
• self-referent cognitive bias
• > smaller endowment effect for east asians in comparison with westerners

Question 2

priming Japanese and Canadians to associate or not associate themselves with a mug

Answer 2

Canadians:

• larger endowment in object association condition
• > self enhancement

Japanese:

• larger endowment effect in no-object association
• > tendency for self-criticism