Term structure of psychological interest rates: A behavioural test.

Many empirical and behavioral studies underline the idea of a non-flat term structure of subjective interest rates with a decreasing slope. Using an empirical test, this paper aims at identifying in individual behaviors whether agents see their psychological value of time decreasing or not. We show that the subjective interest rate follows a negatively sloped term structure. It can be parameterized using two variables, one specifying the instantaneous time preference, the other characterizing the slope of the term structure. A trade-off law called “balancing pressure law” is identified between these two parameters. We show that the term structure of psychological rates depends strongly on gender, but appears not to be linked with life expectancy. We also question the cross relationship between risk aversion and time preference. From a theoretical point of view, these two variables stand as two different and independent dimensions of choice. However, empirically, both time preference attitude and slope seem directly influenced by risk attitude.psychological time value; behavioural economics; time preference; risk aversion; hyperbolic discounting;

An empirical investigation of the determinants influencing consumers' planned choices of eco-innovative materials

Wood-polymer composites (WPCs) are eco-innovative materials combining wood and plastics. Due to the novelty, little is known about consumer acceptance. Investigating the drivers of consumers’ WPC choices reveals consumers’ perception of the materials’ advantages over competing ones. The predictors of WPC acceptance were examined within a theory of planned behaviour (TPB; Ajzen, 1991) framework. An online survey (N = 357), varying material x appearance within and product category between subjects, was conducted in Germany. Structural equation modelling revealed that the attitudes towards environmental and innovative product aspects and the subjective norm explain the intention to buy WPC products (R² = 0.56). Consumers’ choice behaviour was assessed with a choice-based conjoint analysis (CBCA) and predicted by the behavioural intention and perceived behavioural control (PBC) (R² = 0.39). Hence, the present study identifies important drivers of WPC acceptance that could be useful for deriving certain marketing implications, potentially fostering more eco-friendly consumption

Decision style, ability and the effectiveness of a careers intervention : a thesis presented in partial fulfilment of the requirements for the degree of Master of Arts in Psychology at Massey University

This study aimed to evaluate the impact of a career decision-making exercise on decision-making skills in groups with different academic ability and career decision style. The study was conducted in a single sex female school using four classes (90 students in total) of Fourth Formers. Three separate phases were carried out within a two week period as part of the careers program. Phase one involved pretesting students using measures of knowledge of sources of careers information and actions to be used when making a careers decision. Career decision style, logical reasoning and demographic details were also obtained at this stage. During phase two students were either taught a specific decision-making exercise (Experimental intervention) or an exercise on women in the workforce (Placebo intervention). The final phase involved a post test and follow up career exercises. Results were analysed using 2 x 2 x 2 x 2 (type of intervention, career decision style, academic ability and pre/post test) way ANOVAs for each dependent measure. The group exposed to the career decision-making exercise did not show the predicted improved performance over those exposed to the placebo intervention. Gains were evident in the knowledge of career information sources but this was the same for both interventions. Academic ability and career decision style did influence the intervention outcomes but not in the predicted directions. Results are discussed in terms of the adequacy of the measures of career decision-making skills and the unexpected impact of the placebo activity. The importance of taking into account decision style and academic ability in designing careers interventions is high-lighted

Personal determinants of organic food consumption: a review

Purpose - A lot of literature is available that discusses personal determinants of organic food consumption. However different models and determinants are used in the literature. This paper aims to provide an overview, within a framework linking Schwartz' values theory and the theory of planned behaviour (TPB). Also it seeks to focus on the importance of affective attitude, emotions, personal norm, involvement and uncertainty related to organic food consumption. Design/methodology/approach - The paper is based on secondary data sources, namely the literature concerning personal determinants of organic food consumption. Findings - Both the values theory and the theory of planned behaviour have been referred to as relevant theories for better understanding consumers' choice for organic food. Organic food consumption decisions can be explained by relating attributes of organic food with more abstract values such as "security", "hedonism", "universalism", "benevolence", "stimulation", "self-direction" and "conformity". Appealing to these values can positively influence attitudes towards organic food consumption. Besides attitude, subjective and personal norm and (perceived) behavioural control influence consumption of organic food. Research limitations/implications - More research related to the role of uncertainty (reduction) during the process of buying organic food is recommended. Practical implications - Relatively little research has examined the affective component of attitude and emotions in relation to organic food consumption, while these may play an important role as drivers of involvement and thus help to jolt food purchasers out of their routine of buying conventional food and set a first step to adopt organic food. Originality/value - To the authors' knowledge, this is the first paper providing a comprehensive overview and linking the literature on organic food consumption to the values theory and the theory of planned behaviour, including the role of personal norm and focusing on emotions. The proposed integration of mental processing in an organic food consumption model leads to interesting hypotheses and recommendations for policy makers, researchers and stakeholders involved in the organic food market

Who Wants to Have a Career in Science or Math? Exploring Adolescents’ Future Aspirations by Gender and Race/Ethnicity

Our study utilizes data from a national cohort of eighth-grade students to consider how different gender and racial/ethnic subgroups compare to White males in their likelihood to aspire toward a science or math occupation and examine the roles that self-concept, enjoyment, and achievement may play in shaping disparities at this early point in occupational trajectories. We find that the importance of enjoyment, self-concept, and achievement in explaining disparities in science career aspirations relative to White males varies according to the female subgroup considered, such that no singular story applies to females across different racial/ethnic backgrounds. For math, White and Hispanic females remain approximately half as likely as White males to aspire to a math occupation regardless of all indicators we consider. Finally, Black and Hispanic adolescent boys have generally comparable aspirations toward future careers in science and math as their White male peers, despite notably large differences in achievement. We discuss implications of our results for future research on equity

Betting on a long life: The role of subjective life expectancy in the demand for private pension insurance of german households

With a view to investigating the presence of adverse selection, we analyze determinants of private pension insurance uptake of German households in a probit model. Using survey data on savings and old-age provision, we find that subjective life expectancy is positively related with the probability of having supplementary private pension insurance. This indicates that the German annuities market is in fact characterized by adverse selection. Furthermore, pre-existing annuities from the public pension system tend to be a substitute to private insurance, while financial literacy enhances the uptake. We also find evidence for a bequest motive in old-age provision, but see no indication for pooling longevity risk within couples. --

Exploring the Trust Gap: Dimensions and Predictors of Trust Among Labor and Management Representatives

Existing literature on interpersonal trust in work relationships has largely focused on trust as an independent variable. This study examined trust as a dependent variable by investigating its dimensions and predictors. Four dimensions of trust were hypothesized: open communication, informal agreement, task reliance, and surveillance. A survey measure of willingness to trust was developed. Confirmatory factor analysis using data from 305 management representatives and 293 labor representatives showed the convergent and discriminant validity of the measure. Fishbein and Ajzen\u27s theory of reasoned action served as the theoretical basis for a model of the predictors of trust. Regression analyses found that the past trustworthiness of the focal person and the attitude toward trusting the focal person were the most important predictors. Implications for research and practice are discussed