Does the Endowment Effect Influence Outcomes in Takings Cases? An Exploratory Look at Some Important Cases and Suggestions for Additional Research (original) (raw)

This study explores the influence of the endowment effect in takings cases under the Fifth Amendment of the U.S. Constitution. It contrasts traditional legal and economic perspectives, which assume rational decision-making, with insights from behavioral psychology. By examining various takings scenarios, the research suggests that the endowment effect may play a significant role in the outcomes of these cases and calls for additional empirical studies on the behavior of planners and the public regarding property valuation and compensation.