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This paper discusses the importance of incorporating personal assistance into interventions aimed at improving long-term education and labor market success. While existing research demonstrates the cost-effectiveness of low-touch behavioral nudges, this paper argues that the dynamic nature of human capital accumulation requires sustained habits over time. To foster better habits, social connections are critical for encouraging enduring effort and intrinsic motivation. The paper links the role of personal assistance to economic theories of human capital investment and decision-making, and showcases examples from various stages of skill accumulation, including early childhood, adolescence, and adulthood, in which interventions that incorporate personal assistance substantially out-perform less intensive nudges. We underscore the importance of interactive support, guidance, and motivation in facilitating significant progress and explore the challenges associated with implementing cost-effective policies to provide such assistance.
The COVID-19 pandemic provided a stark reminder that societies will struggle to address global challenges unless they are able to change behaviour at scale. The widely adopted ‘nudge’ approach epitomizes an individualistic, deficit model of human cognition and motivation that leverages or overcomes people’s weaknesses and biases to get them to do things they would otherwise not. By contrast, we argue that tackling the challenges facing humanity requires a collective, capacity-building approach – one that boosts the competences, opportunities, and motivations of individuals to act together.
In a randomized field experiment, we show that a low-cost intervention, weekly email reminders, increases the weekly exercising frequency of gym members by 13%, with the effect being larger for class training (19%) than for free training (11%). We find that nearly all types of individuals benefit from the reminders (e.g., students, nonstudents, women, men, new members, recurring members), and this effect persists in a three-month posttreatment period. Furthermore, the increase in class visits is partly driven by an increase in the number of bookings of gym classes and a slight decrease in the share of bookings that are canceled. Limited attention and habit formation can best explain these results. In contrast to the increase in gym attendance, we do not find any effect on the duration and renewal of membership contracts.
Nudging is often proposed as a promising policy approach for improving healthy choices among lower socioeconomic position (SEP) populations. However, nudges may not suit lower SEP contexts and empirical studies are scarce. We examined the efficacy of a repositioning nudge at a supermarket in a deprived neighborhood in improving healthier snack purchases and described customers’ healthy grocery shopping needs. Daily sales were collected during 4-week control and intervention periods, where healthier snacks replaced unhealthy snacks at the checkout. Besides, questionnaires were administered. More healthier snacks were sold per day during the intervention (Median = 2.50, Q1 = 2.00, Q3 = 3.50) than control period (Median = 0, Q1 = 0, Q3 = 1.00), B = 1.77, z = 5.50, p < .001, incidence rate ratio = 5.87 (95%CI [3.52, 10.17]). Despite statistical significance, the absolute number of healthier snacks sold remains negligible. Customers report to find it important to eat healthily and to think carefully about their groceries, but to hardly buy snacks at the checkout and desire a healthy and affordable food offer. Repositioning nudges may not suit the circumstances and needs of lower SEP populations. Interventions must be tailored to lower SEP groups and integrated with system-level policies.
Traditional economics served as the model case of most early performativity theory. In recent years, however, behavioural economics and particularly nudging has become increasingly popular; both as a policy instrument to design markets and as a behaviour change tool used by for-profit organizations. This chapter unpacks the implications of this shift in economic discourse for performativity theory, examining to what extent the performative process of behavioural economics overlaps with standard performativity and how it differs from that of traditional economics across policy and business domains. We focus on four aspects of the shift: (1) the nature of the economic subjects – consumers, workers, market actors – being performed, (2) the changes in the underlying normative standpoints and the politics of performativity, (3) the technologies of knowing adopted, and (4) the performative actions and socio-technical assemblages facilitated by traditional versus behavioural economics. The chapter concludes by offering a theoretical extension of performativity theory and a critical account of the potential impacts of behavioural economics and by laying the groundwork for future research.
This chapter argues that the influences on consumer choice should be revisited because the digital environment and the use of AI increase the urgency of having a clear criterion with which to distinguish permitted influences from prohibited ones. The current emphasis on either rational consumers or behaviourally influenced consumers operates with an ideal of unencumbered choice which has no place in reality and overlooks the fact that the law allows many subtle or not-so-subtle attempts to influence the actual behaviour of consumers. To effectively stand up to the force of AI-driven sales techniques, it may be necessary to update the existing framework of consumer protection.
To evaluate nudge strategies that increase the consumption of plant-based foods, defined as vegetarian or vegan food items, compared with meat-based options in post-secondary dining hall settings.
Design:
A pilot study.
Setting:
This study took place in the University of British Columbia Vancouver Campus’s Gather Dining Hall (GDH) over a 6-week intervention period and two control periods. The intervention incorporated several nudges (proportion increases, item placement, taste-focused labelling, Chef’s featured special verbal prompts, social media and promotional posters) into the menu and dining hall area with the goal of increasing the purchases of plant-based items. Sales data from meals that were purchased during the intervention period were compared with sales data from the two control periods.
Participants:
Students and staff who purchased meals in the GDH.
Results:
The proportion of plant-based items sold significantly increased during the intervention period (56·7 %; P < 0·01) compared with the last 6 weeks of term one (53·6 %) and the first 6 weeks of term two (53·4 %). The proportion of plant-based ‘main’ menu items was significantly higher in the intervention period (46·4; P < 0·01) when compared with the last 6 weeks of term one (40·9 %) and the first 6 weeks of term two (41·7 %).
Conclusions:
The combination of nudges was effective at significantly increasing the selection of plant-based options over meat-based options in a post-secondary dining hall setting.
Governments around the world have increasingly adopted behavioural public policies, in which behavioural insights units (often designated as ‘Nudge units’) play an increasingly important role. Such units are typically assigned with implementing behavioural insights in various social policy fields. However, research on the contextual specificities of Nudge units is still scarce. This article addresses that gap by providing an in-depth qualitative study of MineduLAB, a Nudge unit active within the Peruvian Ministry of Education. Informed by an interpretive approach, our analysis shows that the behavioural insights that MineduLAB makes use of and develops, are enacted by a unique local interplay of three different dimensions: a political-financial, an epistemic community, and a sector-specific (here: educational) dimension. Moreover, our analysis of a Nudge unit in the Global South showcases both similarities (e.g. focus on behavioural evidence and experimentation) as well as differences (e.g. the challenge of corruption; the deployment of other vocabulary with regards to behavioural insights) with the predominantly Western Nudge units that are more commonly researched. Consequently, we argue that for a profound academic evaluation of behavioural public policy and the role of Nudge units herein, it is crucial to pay close attention to their contextuality and geographical diversity.
Nudging is a policy tool that steers people’s behavior through noncoercive psychological pushes. This has consequences for people’s lives to varying degrees. For example, the nudge of a sticker of a fly in a urinal encourages peeing inside a urinal, while an organ donation default brings people to agree to donating their organs after their decease. Governments do not yet systematically examine which nudges have to be subjected to all safeguards of the rule of law—for example, parliamentary control, judicial review, or compliance with legal principles such as proportionality. This article argues that a legal doctrine is necessary to carry out this examination. Moreover, it contributes to the development of such a doctrine, using the approach of the European Court of Human Rights as a source of inspiration. The doctrine consists of a “de minimis” principle for nudges: Public institutions only need to ensure that a nudge complies with rule of law safeguards when the nudge has substantial consequences. In addition, the doctrine includes a criterion to determine which nudges have such substantial consequences. In particular, it is argued that a nudge should be subjected to at least some safeguards when it has a serious effect on people’s autonomy.
To test whether traffic light labels and an increased range of healthy beverages, individually and in combination, can increase healthy beverage choices from vending machines.
Design:
Two studies (n 558, 420) tested whether the provision of traffic light labels (green, amber and red) and an increased range of healthy beverages (from 20 % to 50 % green options), individually and in combination, could increase healthy beverage choices from a digital vending machine display. The studies used a between-subjects experimental design, and a hypothetical beverage choice, a limitation when considering real-world applicability.
Setting:
Both studies utilised an online Qualtrics survey that featured a digital vending machine display.
Participants:
Both studies (n 558, 420) consisted of university students from Flinders University and individuals from a survey recruitment service.
Results:
Featuring traffic lights did not significantly influence beverage choices (P = 0·074), while increasing the healthy range (P = 0·003, OR = 3·27), and the combination of both, did significantly increase healthier beverage choices (P < 0·001, OR = 4·83).
Conclusions:
The results suggest that the traffic light system and increased healthy range are not maximally effective when used on their own, and benefit greatly when combined, to increase healthy beverage choices. It was suggested that the provision of traffic light labels supplied the necessary nutritional information, and the increased healthy range offered greater opportunity to act in accordance with that information. In so doing, the present findings offer a promising pathway for reducing unhealthy beverage consumption.
This chapter reviews the evidence behind the anti-misinformation interventions that have been designed and tested since misinformation research exploded in popularity around 2016. It focuses on four types of intervention: boosting skills or competences (media/digital literacy, critical thinking, and prebunking); nudging people by making changes to social media platforms’ choice architecture; debunking misinformation through fact-checking; and (automated) content labelling. These interventions have one of three goals: to improve relevant skills such as spotting manipulation techniques, source criticism, or lateral reading (in the case of boosting interventions and some content labels); to change people’s behavior, most commonly improving the quality of their sharing decisions (for nudges and most content labels); or to reduce misperceptions and misbeliefs (in the case of debunking). While many such interventions have been shown to work well in lab studies, there continues to be an evidence gap with respect to their effectiveness over time, and how well they work in real-life settings (such as on social media).
The aim of this chapter is to explore how social choice theory and the capability approach can help in clarifying important ethical dilemmas and issues of injustice that need to be addressed for cities to become sustainable cities. Six types of important injustices are identified, covering both intra- and intergenerational fairness. Some important criticisms of smart cities are considered and important safeguards and policy priorities for smart cities from the social choice and capability approach framings are identified. The main message of this chapter is that the sustainability of cities is an ethical issue and not one of technology or measurement, and it is all about the six types of injustices, with cities needing to tackle all six of them in their quest to become sustainable. Nudging and smart cities can help, but these must be contextualized to prioritize participation and equality. Social choice theory as formulated by Amartya Sen provides important insights to understand and deal with conflicts between the different demands on the freedoms of different individuals.
Transparency is intimately linked to debates about the ethics, political legitimacy and effectiveness of nudging. This paper provides an overview of empirical studies investigating how changes in the transparency of a nudge affect people's choices and evaluations of the nudge. I conclude that the present literature provides generally consistent evidence supporting that the effectiveness of a nudge does not decrease when choosers are given good opportunity to detect and understand the influence it might have on their choices. However, several conceptual and methodological issues are identified, significantly limiting the scope of the conclusions that can be drawn. The limitations are discussed and organized into six themes, with recommendations provided for how future research may address them.
Financial policymakers increasingly rely on behavioural insights to protect the interests of consumers. However, little is known about how citizens feel about interventions designed to nudge their financial behaviour. Most literature on the acceptability of behavioural interventions focuses on the health domain. To address this gap, we present the results of an experiment on the acceptability of seven financial behavioural interventions (N = 684, members of a panel of the Dutch Authority for the Financial Markets). We investigate the role of the agent implementing the intervention (policymaker versus financial company) and perceived effectiveness in relation to the acceptability of these interventions. The acceptability of behavioural interventions in financial decision-making appears to be lower than the acceptability levels found in previous studies. We find no effect of the agent on acceptability. Perceived effectiveness is strongly correlated with acceptability, but only perceived effectiveness in influencing one's own decisions has a consistently positive relationship with acceptability. Perceived effectiveness in influencing others' decisions has either no, a positive, or a negative relationship with acceptability. These results highlight that acceptability appears to be at least partly domain-specific and show that we have only just begun understanding the acceptability of behavioural interventions and its drivers.
Libertarian paternalists argue that psychological research has shown that intuition is systematically flawed and we are hardly educable because our cognitive biases resemble stable visual illusions. Thus, they maintain, authorities who know what is best for us need to step in and steer our behavior with the help of nudges. Nudges are nothing new; justifying them on the basis of a latent irrationality is. Technological paternalism is government by algorithms, with tech companies and state governments using digital technology to predict and control citizens’ behavior. This philosophy claims first that AI is, or soon will be, superior to human intuition in all respects; second, people should defer to algorithms’ recommendations. I contend that algorithms and big data can outperform humans in tasks that are well-defined and stable, e.g., playing chess and working on assembly lines, but not in ill-defined and unstable tasks, e.g., finding the best mate and predicting human behavior. Misleadingly, the “dataist” worldview promotes algorithms as if these were omniscient beings and so people should allow them to decide for the good of each what job to accept, whom to marry, and whom to vote for.
Behavioral economics has demonstrated deviations from the perfect optimization depicted in standard models. Some deviations are trivial and irrelevant for macroeconomics. Others, however, are systematic and affect aggregate outcomes, including aggregate household saving. Pervasive uncertainty and the influence of ‘nudging’ on household retirement saving cast doubt on models of saving that are based on strict optimization and rational expectations. Behavioral evidence also points to possible reasons for under-saving. The well-documented existence of ‘present bias’, not surprisingly, can reduce saving, and simple models demonstrate that peer effects on consumption can also have this effect. Macroeconomic relations should indeed reflect microeconomic behavior and macroeconomics must be ‘behavioral’. But the specification of consumption in contemporary macroeconomic models is based on misleading assumptions about microeconomic behavior. The modeling of aggregate consumption must build on behavioral evidence, address aggregation issues, and consider structural constraints, including credit rationing.
Although customer support is critical to the wider uptake of nudging strategies to promote fruits and vegetables (FV) in institutional food service (FS) settings, empirical research is sparse and typically based on small convenience samples. An online survey was conducted to assess support, perceived effectiveness and intrusiveness of nine nudge types drawn from Münscher et al.'s Taxonomy of Choice Architecture. We focused on the setting of campus FSs across Canada. A national sample of post-secondary students regularly using campus FSs was used (N 1057). Support for changing the range of options (B3) was the highest, closely followed by changing option-related effort (B2) and changing option-related consequences (B4). Facilitating commitment (C2), changing default (B1) and providing a social reference point (A3) received lowest support. Furthermore, we extracted three clusters of respondents based on perceived effectiveness and intrusiveness of nudge types. Characterised by a relatively low level of perceived effectiveness and moderately high level of intrusiveness, Cluster 1 (61⋅7 % of the sample) reported the lowest support for nudges. Cluster 2 (26⋅6 %), characterised by intermediate effectiveness and low intrusiveness of nudging, reported a high level of support for nudges. Lastly, Cluster 3 (11⋅7 %), characterised by high perceived effectiveness of as well as high perceived intrusiveness, reported the highest level of support for nudges. Findings confirm overall support for FV nudging, with significant differences across nudge types. Differences in customers’ acceptance and perception across nudge types offer campus FS operators initial priors in selecting nudges to promote FV.
Behavioural science has made significant contributions to public policy over the last decade from tax compliance to pensions and energy use. However, behavioural insights (BI) have not yet been able to claim significant policy shifts in the area of crime, despite increasing interest and experimentation. This paper offers a critical reflection on the state of BI and crime from the perspective of those who have been at the forefront of this work since the inception of the world's first behavioural science team in government. We outline how existing theories of crime have already laid foundations for the successful application of BI but identify opportunities to build on these with tools from behavioural science. We conclude by examining how continued cross-pollination of ideas between BI and disciplines such as applied criminology points to promising directions for future research.
People do not save enough for retirement and this can have serious repercussions on their well-being. We tested an intervention in a large field study (N = 20,507) with the goal of nudging a population of freelance workers to save more for the future. First, we changed the default from the earlier contribution rate of 10% to a contribution rate of 20%, but left people free to choose how much they wanted to contribute. Second, those who reduced their contribution were reminded that they would receive a lower pension as a result. Third, we informed people about how much tax they would save as a result of their contribution. This nudging intervention proved to be a cost-effective, yet powerful way to remind people about the long-term implications of their savings decisions. It was also successful at counteracting the temptation to keep as much money as possible for present consumption while losing out on the long run. Overall, we were able to increase cash flow to the fund by more than eight million Euros (in addition to the roughly 50 million collected in the previous year), with an almost seven-fold increase in the number of people who chose to contribute more than the minimum.
In “Nudging, Bullshitting, and the Meta-Nudge”, the author responds to William Simkulet’s claim that nudging is bullshitting (according to Harry Frankfurt’s analysis of bullshit and bullshitting), and therefore nudging during the process of informed consent renders consent invalid. The author argues that nudging is not necessarily bullshitting and then explains that although this issue is philosophically interesting, practically speaking, even if nudging is bullshitting, it does not follow that nudging necessarily renders informed consent invalid. This is obviously true in those situations in which nudging during the process of informed consent is unavoidable. The author concludes with a discussion of the meta-nudge and suggests that physicians can use the meta-nudge to eliminate or decrease the power of inappropriate, problematic, or undesirable nudges.