Reason Defaults: Presenting Defaults With Reasons for Choosing Each Option Helps Decision-Makers With Minority Interests
Shweta Desiraju, Berkeley J. Dietvorst
Abstract
Shweta Desiraju, Berkeley J. Dietvorst
Abstract
Defaults are powerful tools for nudging individuals toward potentially beneficial options. However, defaults typically guide all decision-makers toward the same option and, consequently, may misguide individuals with minority interests. We test whether presenting defaults with information about heterogeneity can help individuals with minority interests select alternative options, and we dub this intervention a “reason default.” Reason defaults preselect the option that is best for most individuals (like standard defaults) but also explain (a) why the default was selected and (b) who should opt for an alternative. In five preregistered studies using online convenience samples of adults ( N = 4,210), we find that reason defaults can improve decision-makers’ outcomes over standard defaults and forced choices by guiding most individuals toward the default option while helping individuals with minority interests select an alternative. Further, participants reported that reason defaults enhance transparency, decision ease, and understanding of the choice relative to standard defaults and forced choices.
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Defaults are powerful tools for nudging individuals toward potentially beneficial options. However, defaults typically guide all decision-makers toward the same option and, consequently, may misguide individuals with minority interests. We test whether presenting defaults with information about heterogeneity can help individuals with minority interests select alternative options, and we dub this intervention a “reason default.” Reason defaults preselect the option that is best for most individuals (like standard defaults) but also explain (a) why the default was selected and (b) who should opt for an alternative. In five preregistered studies using online convenience samples of adults ( N = 4,210), we find that reason defaults can improve decision-makers’ outcomes over standard defaults and forced choices by guiding most individuals toward the default option while helping individuals with minority interests select an alternative. Further, participants reported that reason defaults enhance transparency, decision ease, and understanding of the choice relative to standard defaults and forced choices.
Key concepts: Default, Actuarial science, Psychology, Economics, Finance