Decision ArchitectureHigh Impact
Framing Effect
Definition
Framing Effect is drawing different conclusions from the same information depending on how that information is presented or contextualized.
Real-world examples
A medical procedure described as having a '90% survival rate' is chosen far more frequently than one described as having a '10% mortality rate'.
- '95% of customers renew' persuades more than 'only 5% cancel', though both state the same fact.
- Ground beef labelled '80% lean' is rated tastier than the identical product labelled '20% fat'.
How to design for it (nudge strategy)
Highlight positive attributes to encourage adoption (e.g., '98% fat-free') or negative implications to discourage dangerous behaviors.
The evidence (1)
- Increasing National Tax Compliance via Social Norms
Public Policy · Payment Rate within 23 Days: 67.5% → 83% (+15.5 pts) · n = 140,000 taxpayers
Key research
- Prospect Theory: An Analysis of Decision under RiskDaniel Kahneman, Amos Tversky · Econometrica (1979)
Related biases
Cite this page
Behavioral Economics Lab. "Framing Effect – Definition, Examples & Evidence." Behavioral Economics Lab, https://behavioraleconomicslab.com/biases/framing-effect.