Suppose Yasmin Buys a New House and Calls the Utility

Multiple Choice

Suppose Yasmin buys a new house and calls the utility company to turn on the electricity. Yasmin is assigned an energy provider that produces electricity from burning coal. She is allowed to choose a different provider that uses clean energy sources at a later date. Yasmin is likely to _______ based on the influence of _______.

A) switch to a new provider; loss aversion
B) switch to a new provider; the endowment effect
C) stick with the assigned provider; the commitment effect
D) stick with the assigned provider; status quo bias