(a) Sweden public investment scheme

• Default choice was more appropriate (carefully chosen default option with exposure to foreign stocks)
• "Availability" bias where those who chose portfolio where heavily weighted towards Swedish stocks (what they understood)
• Just Maximize Choice doesn't always work well

(b) Auto enrollment into pensions

• More choices for asset allocation and contribution dampen participation
• Choice architecture for contribution matrix: Users benchmark by maximum contribution amount with a match - can you modify this to see more participation?
• Loss aversion phenomenon - don't want to see nominal paycheck go down; solution was Save More Tomorrow scheme (automatic increments with paycheck)

(c) Dealing with abundant choice

• Collaborative filtering eg Netflix
• Elimination by aspects (set pre-defined search criterion; filtering and discovery tools let you overcome the paradox of choice)

#Activation #Strategy