IMPLICIT COMPONENTS IN ECONOMIC CHOICE AND CONFIDENCE
Van Raaij, F. W., University of Tilburg, Netherlands
Economic decision making and choice is only partly based on conscious and explicit information processing and preference. A large part of economic decision making and choice is unconscious and implicit. Factors and perceptions that people are not aware of, play a role in liking/disliking of objects and even in consumer confidence. This presentation has the following parts: (1)Evidence of implicit components in preference and choice: mere exposure, single versus repeated exposure, and priming.(2)Measuring implicit processes: IAT and PDP procedures, and multinomial modeling.(3)Experiments on repeated exposure to Chinese characters and brand names.(4)Implicit components in the consumer confidence index predicting expenditure and saving. MDP (multinomial decision process) model applied to economic decision making and consumer confidence.