The Enduring Impact of Transient Emotions on Decision Making

34 Pages Posted: 18 Feb 2009 Last revised: 1 Oct 2009

See all articles by Eduardo B. Andrade

Eduardo B. Andrade

FGV/EBAPE

Dan Ariely

Duke University - Fuqua School of Business

Date Written: February 16, 2009

Abstract

People often do not realize they are being influenced by an incidental emotional state. As a result, decisions based on a fleeting incidental emotion can become the basis for future decisions and hence outlive the original cause for the behavior (i.e., the emotion itself). Using a sequence of ultimatum and dictator games, we provide empirical evidence for the enduring impact of transient emotions on economic decision making. Behavioral consistency and false consensus are presented as potential underlying processes.

Keywords: emotion, mood, affect, feelings, decision making, negotiation, ultimatum game

JEL Classification: Z00

Suggested Citation

Andrade, Eduardo B. and Ariely, Dan, The Enduring Impact of Transient Emotions on Decision Making (February 16, 2009). Organizational Behavior and Human Decision Processes, Forthcoming. Available at SSRN: https://ssrn.com/abstract=1344587

Eduardo B. Andrade (Contact Author)

FGV/EBAPE ( email )

R. Dr. Neto de Araujo 320 cj 1307
Rio de Janeiro, Rio de Janeiro 22250-900
Brazil

Dan Ariely

Duke University - Fuqua School of Business ( email )

Box 90120
Durham, NC 27708-0120
United States
(919) 381-4366 (Phone)

Register to save articles to
your library

Register

Paper statistics

Downloads
425
Abstract Views
2,258
rank
67,713
PlumX Metrics