Research Archive

Relaxation Increases Monetary Valuations

Michel Tuan Pham, Iris Hung, Gerald Gorn

Publication type: Journal article

Research Archive Topic: Marketing

Abstract

This research documents an intriguing empirical phenomenon whereby states of relaxation increase the monetary valuation of products. This phenomenon is demonstrated in six experiments involving two different methods of inducing relaxation, a large number of products of different types, and various methods of assessing monetary valuation. In all six experiments participants who were put into a relaxed affective state reported higher monetary valuations than participants who were put into an equally pleasant but less relaxed state. This effect seems to be caused by differences in relaxed and non-relaxed individuals' mental construals of the value of the products. Specifically, compared to less-relaxed individuals, relaxed individuals seem to represent the value of products at a higher level of abstraction, which increases their perceptions of these products' value. The phenomenon appears to reflect an inflation of value by relaxed individuals rather than a deflation of value by less-relaxed individuals.

Reprinted with permission from the Journal of Marketing Research, published by the American Marketing Association.


Download PDF
View Ideas at Work: Feature

Citation

Pham, Michel Tuan, Iris Hung, and Gerald Gorn. "Relaxation Increases Monetary Valuations." Journal of Marketing Research 48, no. 5 (October 2011): 814-826.


Each author name for a Columbia Business School faculty member is linked to a faculty research page, which lists additional publications by that faculty member.

Each topic is linked to an index of publications on that topic.