Priceless: The Myth of Fair Value (and How to Take Advantage of It) (52 page)

Loewenstein, George,
9
,
102
,
135
,
138
,
194
,
215
,
216
,
218
,
256

Lone Ranger theory,
257–58

Longoria, Eva,
156

Lopes, Lola,
125–26

Los Angeles Times
,
229

loss aversion,
98–103
,
174
,
220

loyalty cards,
149
,
175–77

Luby, Frank,
4
,
5
,
190

Lufthansa,
7

Luvs disposable diapers,
153–54

luxury,
155–58
; superfluous,
151

MacArthur Foundation,
15
,
122

Mach, Ernst,
30

Machiguenga people,
121–22

Machina, Mark,
60–61

Macrae, C. Neil,
283

Macy’s department store,
186
,
187

Mad Men
(television show),
184

Magic Bullet Blender,
170–71

Magic Christian, The
(Southern),
9–10
,
221

Malouff, John,
17

Mandel, Howie,
130

Mandel, Naomi,
280–82

Marketing Science
,
169

Marsh’s Supermarket (Troy, Ohio),
147

Martin, Katherine,
197

Massachusetts Institute of Technology (MIT),
36
,
41
,
135–39
,
188
,
195
; Sloan School,
135
,
137

Matthews, Chris,
258

Mauritius,
130

Max Planck Institute for Evolutionary Anthropology,
123

Max Planck Institute for Human Development,
126

Maxwell House coffee,
149

Mazar, Nina,
193

McCabe, Kevin,
129–30

McClearn, Karen,
166

McDonald’s: hot coffee lawsuit against,
3–4
,
17–21
,
276
,
278
; worm rumors about,
206

Mead, Nicole,
284–86

menus,
159–64

Mercedes Benz,
7

Merck & Company,
6

Merckle, Adolf,
102

Merkel, Julius,
31

Mesopotamians,
42

Michael, George,
267

Michaud, Todd P.,
148

Michelob beer,
153

Michelson-Morley experiment,
74

Michigan, University of,
49
,
52–54
,
62
,
82

microscope, invention of,
208

Microsoft Corporation,
6

Mighty Mendit adhesive,
170

Miljoenenjacht (Chasing Millions)
(Dutch game show),
130–32

Miller, George,
42–43

Miller beer,
152
,
153

Milne, Alan B.,
283

Minolta cameras,
156

Minow, Nell,
257

money illusion,
225–33

Money Illusion, The
(Fisher),
225

Monopoly (game),
284
,
286

Monty Python,
134

Morgan, S. Reed,
3–4
,
19–21

Morgenstern, Oskar,
50
,
51
,
54
,
55

Mormons,
28

Morrissey, Paul,
202–203
,
205

MRI scans,
168

MSNBC,
258

Mugabe, Robert,
223

Mullainathan, Sendhil,
146–47
,
245
,
246

Murphy, Charles B. G.,
49
,
71

Murray, Bill,
208–209

Mussweiler, Thomas,
90
,
269–71

Nash equilibrium,
51

National Broadcasting Company (NBC),
255

National Economic Council,
262

National Football League (NFL),
156–66

National Geographic
,
93

National Science Foundation,
122
,
197

Nature Conservancy,
202

Nazis,
83–84

Neale, Margaret,
196–201
,
203
,
207
,
208
,
212

Negotiating Rationally
(Bazerman and Neale),
212

negotiations,
116
,
196
,
211–12
; anchoring in,
207–208
,
211
; business,
197
; divorce,
234–36
; fairness in,
105
,
116
; gender and,
236–38
,
241–44
; race and,
242–44
;
see also
bargaining
;
ultimatum game

Nestlé,
6

Netflix,
174–75

Netherlands,
130–33

Nettle, Daniel,
283

neuroeconomics,
249–50
,
252

Nevada Gaming Commission,
72

Newcastle University,
282

Newsweek
,
125–26

New York Giants football team,
166

New York Times, The
,
185
,
203
,
227
,
235
,
236
,
266

Nikon cameras,
145

99-cent stores,
184–85
,
189
,
190

Nobel Prize,
10
,
11
,
56
,
57
,
60
,
83
,
127

Nocera, Joseph,
236

Nokia,
6

NORAD,
52

Nordstrom’s department stores,
190

Norma’s restaurant (New York),
159

Northcraft, Gregory,
196–201
,
203

Northwestern University, Kellogg Graduate School of Management,
218

Obama, Barack,
262

O’Dell, Brandon,
159
,
161
,
186

Oechssler, Jörg,
213–14

Olive Garden restaurant chain,
160

Onassis, Jacqueline,
202

“opportunity” price increases,
161

Oregon, University of,
62

Oregon Research Institute (ORI),
25–28
,
49
,
62
,
68
,
79
,
87

Organizational Behavior and Human Decision Processes
,
200
,
210

Orma people,
122

outrage theory,
19
,
276–79

Oxford University,
122
,
126
,
220

oxytocin,
252–54

packaging, changing size and shape of,
4–6

pain,
138–39
; psychophysics of,
136

Palestine, British,
81
,
83
,
84

Palin, Michael,
134

Palmer, Arnold,
227

Pampers disposable diapers,
153–54

Papua New Guinea,
123

Parago,
177

Paraguay,
123

Parker Meridien Hotel (New York),
159

Parrish, Darrell,
241

Pastis restaurant (New York),
161–62

Pavlov, Ivan,
229

Pearson, Wayne,
72

Pennsylvania, University of,
237

Pepsico,
6

perceptual illusions,
36–37
,
84–85

Peru,
121–22

Peters, Michael,
114

Pfeiffer, Tim,
269–71

Philosophical Enquiry into the Origin of Our Ideas on the Sublime and Beautiful
(Burke),
101

phone bills,
172–73

physical attractiveness, effects on salaries and prices of,
239–40

Physical Impossibility of Death in the Mind of Someone Living, The
(Hirst),
266

Picasso, Pablo,
116

pigeon drop con,
253

Pinker, Steve,
126

Plateau, Joseph-Antoine Ferdinand,
31–32
,
40

Plautus,
109–10

Plott, Charles R.,
78–80
,
263

Pogo
cartoon,
76

Poincaré, Henri,
57

Ponticello, John,
72
,
73

Post, Thierry,
130–33

power curve,
32–33

Prada,
155
,
158

preference reversals,
64–70
,
72
,
78–80
,
87
; experiments in,
72–75
,
78–80
,
90–91
; rejection by economists of,
77–78

Prelec, Drazen,
9
,
102
,
135
,
138
,
194
,
216
,
256

price-to-earnings (P/E) ratio,
261
,
263

priming,
91–94
,
280–81
,
284–86
;
see also
anchoring