Question

What is the relationship between defaults and decision making? How can defaults be used to nudge people toward making better decisions?

Answer 1

The relationship between defaults and decision making is that defaults can be used to shape a decision making process as there can be assumption made by some people that there must be a specific reason as to chose the default option. But still inspite of it widespread occurance the option of opt out policy can be problematic.

Defaults can be used to nudge people towards making better decisions as default have it own stratigic importance so it useless to leave them to programmers or to form different designs or planning. It is assumed that customers generally prefer default choices which are basic products or services. If customer have only default choice then they can clearly make decision towards that product by gaining more and more information. They won't get confused between different forms of choices