Using loss aversion and framing to nudge students' classroom performance
Behavioral economics suggests that people do not always decide rationally but are even predictably irrational. This gives rise to the concept of nudge, which creates an architecture of choices that encourages people to behave as they wish. Loss aversion is one of the best-known phenomena in behavior...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
| Published: |
University of Split, Faculty of Economics
2022-01-01
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| Series: | Management : Journal of Contemporary Management Issues |
| Subjects: | |
| Online Access: | https://hrcak.srce.hr/file/407138 |
| _version_ | 1797206658907111424 |
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| author | Damir Bećirović Anida Zahirović Suhonjić Marina Stanić |
| author_facet | Damir Bećirović Anida Zahirović Suhonjić Marina Stanić |
| author_sort | Damir Bećirović |
| collection | DOAJ |
| description | Behavioral economics suggests that people do not always decide rationally but are even predictably irrational. This gives rise to the concept of nudge, which creates an architecture of choices that encourages people to behave as they wish. Loss aversion is one of the best-known phenomena in behavioral economics and a central notion of the prospect theory. The main idea behind this phenomenon is that losses hurt more than gains feel good. The framing effect is a bias where people choose some options differently, depending on whether they are presented as a gain or a loss. In this quasi-experimental study, the authors examine the role of loss aversion and framing effects on students' engagement and academic success. This study aims to test the hypothesis that students will have a stronger reaction to the reduction of awarded points, as opposed to an increase of awarded points, as they progress through the course. This will motivate them to work harder and achieve better academic success. The results show significant differences between the two groups in favor of the group being graded using the point reduction grading scheme. This suggests that the power of loss aversion can be exploited to increase students' engagement and academic success. The existence of framing effect in this case has been demonstrated, which shows it might be possible to use the choice architecture to improve the student results. |
| first_indexed | 2024-04-24T09:10:31Z |
| format | Article |
| id | doaj.art-78385c6fc96d4340b2c8e407945ac058 |
| institution | Directory Open Access Journal |
| issn | 1331-0194 1846-3363 |
| language | English |
| last_indexed | 2024-04-24T09:10:31Z |
| publishDate | 2022-01-01 |
| publisher | University of Split, Faculty of Economics |
| record_format | Article |
| series | Management : Journal of Contemporary Management Issues |
| spelling | doaj.art-78385c6fc96d4340b2c8e407945ac0582024-04-15T17:53:21ZengUniversity of Split, Faculty of EconomicsManagement : Journal of Contemporary Management Issues1331-01941846-33632022-01-0127251710.30924/mjcmi.27.2.2Using loss aversion and framing to nudge students' classroom performanceDamir Bećirović0Anida Zahirović Suhonjić1Marina Stanić2International Business-Information Academy Tuzla, Bosnia and HerzegovinaInternational Business-Information Academy Tuzla, Bosnia and HerzegovinaJ. J. Strossmayer University of Osijek, Faculty of EconomicsBehavioral economics suggests that people do not always decide rationally but are even predictably irrational. This gives rise to the concept of nudge, which creates an architecture of choices that encourages people to behave as they wish. Loss aversion is one of the best-known phenomena in behavioral economics and a central notion of the prospect theory. The main idea behind this phenomenon is that losses hurt more than gains feel good. The framing effect is a bias where people choose some options differently, depending on whether they are presented as a gain or a loss. In this quasi-experimental study, the authors examine the role of loss aversion and framing effects on students' engagement and academic success. This study aims to test the hypothesis that students will have a stronger reaction to the reduction of awarded points, as opposed to an increase of awarded points, as they progress through the course. This will motivate them to work harder and achieve better academic success. The results show significant differences between the two groups in favor of the group being graded using the point reduction grading scheme. This suggests that the power of loss aversion can be exploited to increase students' engagement and academic success. The existence of framing effect in this case has been demonstrated, which shows it might be possible to use the choice architecture to improve the student results.https://hrcak.srce.hr/file/407138loss aversionnudge effectprospect theoryeducationstudent achievement |
| spellingShingle | Damir Bećirović Anida Zahirović Suhonjić Marina Stanić Using loss aversion and framing to nudge students' classroom performance Management : Journal of Contemporary Management Issues loss aversion nudge effect prospect theory education student achievement |
| title | Using loss aversion and framing to nudge students' classroom performance |
| title_full | Using loss aversion and framing to nudge students' classroom performance |
| title_fullStr | Using loss aversion and framing to nudge students' classroom performance |
| title_full_unstemmed | Using loss aversion and framing to nudge students' classroom performance |
| title_short | Using loss aversion and framing to nudge students' classroom performance |
| title_sort | using loss aversion and framing to nudge students classroom performance |
| topic | loss aversion nudge effect prospect theory education student achievement |
| url | https://hrcak.srce.hr/file/407138 |
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