Suppose That You Have a Coupon Which Offers a Price

question 2

Short Answer

Suppose that you have a coupon which offers a price reduction of 10% plus one of the following options.
Option 1: Add an extra 5% to your coupon for a total discount of 15%.
Option 2: Add a price reduction of $8 to your coupon after removing the 10%.
Is one option always better than the other option? Explain.

---

Definitions:

Global Attribution

Global attribution refers to a person's tendency to assume that the causes of their or others' behaviors and outcomes are consistent across different contexts and times.

Depressed

A state of low mood and aversion to activity that can affect a person's thoughts, behavior, feelings, and sense of well-being.

Guaranteed

A promise or assurance, typically in writing, that certain conditions will be fulfilled or that a product will meet a specified level of quality.

Depressive Episodes

Periods characterized by severe feelings of sadness, hopelessness, and a lack of interest or pleasure in activities.