50% preferred $50,000 over $100,000 Intuition would suggest that for the same input, most people would prefer remuneration of $100,000 ahead of $50,000. My intuition tells me that this preference would be even greater for educated professionals who know the value of money. It appears, however, that this is not always the case. Indeed, a […]

50% preferred $50,000 over $100,000 Intuition would suggest that for the same input, most people would prefer remuneration of $100,000 ahead of $50,000. My intuition tells me that this preference would be even greater for educated professionals who know the value of money. It appears, however, that this is not always the case. Indeed, a Harvard University study suggests that it is not always the case.The study in question, researchers asked students and faculty to choose between two options: Option 1 – earning $50,000 a year when everyone else around them makes $25,000 Option 2 – earning $100,000 a year when everyone else around them makes $200,000  Of those surveyed, 50% chose option 1 – thus placing a higher priority on earning more than others than on their own income. By any measure, I would have thought this finding suggests a level of irrationality on the part of the participants.…