As a consequence of endowment effect consumers who are less knowledgeable about a certain product category are those most likely to be overconfident about their choice.

Question

Quizplus · Accepted Answer

The endowment effect refers to the phenomenon where people ascribe more value to things merely because they own them, rather than being related to overconfidence in choice due to lack of knowledge about a product category. Overconfidence in this context is more closely related to the Dunning-Kruger effect, where people with limited knowledge overestimate their own ability or knowledge.

As a Consequence of Endowment Effect Consumers Who Are Less