ICOS Presents:

"How Choices are Demotivating: Evidence from 401(k) Investors and Speed Daters"

Professor Sheena Iyengar

Management Department
Graduate School of Management, and Psychology Department
Columbia University

January 7, 2005

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Accompanying Slides - Duration given in (HH:MM:SS) Back to the ICOS Home Page

Introduction (00:02:06)

Title Slide (00:00:36)

Today's Reality of Choosing (00:00:46)

Benefits of Choice (00:07:30)

Constraints of Choice (00:05:46)

Draeger's Grocery Store (00:00:40)

314 Jams (00:00:12)

Limited Jam Selection (00:00:34)

Extensive Jam Selection (00:00:10)

More Choices Are Appealing (00:00:25)

More Choices Demotivates Choosing (00:00:48)

6 Godiva Chocolates (00:01:14)

30 Godiva Chocolates (00:00:44)

The Discord of More Choice (00:00:48)

More Choices Reduces Satisfaction (00:00:50)

More Choices Demotivates Choosing (00:01:19)

Consequential Decisions: Retirement Savings (00:05:14)

Vanguard Data (00:01:49)

Vanguard Data (2) (00:01:24)

Variables (00:00:19)

Control Variables (00:01:15)

Determinants of Contribution (00:00:45)

More Choices Demotivates Participation (00:02:02)

What of Those Who Choose to Choose? (00:03:40)

Preference for Risky Gambles (00:01:03)

Risk Preferences (00:01:17)

More Choices Motivates Risk Aversion (00:01:36)

Risk Aversion Among 401(k) Choosers (00:01:42)

+10 Funds = + Money Market (00:01:00)

+10 Funds = + Money Market & Bond (00:00:34)

+10 Funds = - Equity (00:00:46)

Restricting Choice Sets (00:03:53)

More Choices Demotivates Participation (00:06:40)

Does more choice help us find what we know we want? (00:02:48)

Why Speed Dating? (00:02:49)

Predictions (00:00:09)

Basics (00:00:09)

Pre-event Survey (00:00:09)

States Preferences (00:00:51)

Attribute Selection (00:00:10)

Event Layout (00:00:06)

Event Picture (00:00:11)

Event Survey (00:00:35)

Shift in Stated Preferences (00:00:36)

Revealed Preferences (00:00:45)

Extensive Choosers Preference Match Less (00:02:08)

Stated Prefs. By Gender (00:00:21)

Revealed Prefs. By Gender (00:00:10)

Who's More Congruent? (00:00:44)

Wanting Choices vs. Enjoying Chosen Outcomes (00:02:33)

Maximizers Voluntarility Expand their choice sets (00:00:15)

Maximizers Gather More Information (00:00:33)

Maximizers Fixate on Choice (00:00:39)

Objective Worth vs. Subjective Value (00:01:54)

The Dilemma of Choice (00:02:33)

Presentation of Tile (00:00:29)

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