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Reading Q&A
16-30 min
Economics

The Psychology of Free: How a Price of Zero Influences Decisionmaking

OVERVIEW

Why do we get so excited when we see the word “free”? This reading assignment explores the psychological factors behind the power of “free,” revealing social norms and our decisionmaking. From the concepts of consumer surplus and zero-price effect, discover why “free” feels so rewarding and how it shapes our behavior in competitive markets. Print the article.

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