Nudges to increase consumer welfare
In order to redesign the consumer protection regime to better meet the needs of the customers, CRC has conducted an extensive study with interviews, surveys and experiments. The following biases were identified: choice overload, heuristics, endowment effects, defaults, loss aversion and hyperbolic discounting. Based on these biases in the Colombian telecommunication market, a combination of regulatory and non-regulatory tools was developed to increase the welfare of the customers.
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