Study: We really do like larger bills

January 31, 2006
Dollar bill

A University of Iowa money study explores our preference for big bills over small ones -- and explains our marked reluctance to part with a larger bill.

"The denomination in which money is held influences consumer spending," write researchers Himanshu Mishra, Arul Mishra and Dhananjay Nayakankuppam. They term the propensity to hold a single bill in higher regard "a bias for the whole."

This single value also gives large bills something the authors call "processing fluency": "A single bill possesses Gestalt features of cohesion and economy that multiple bills lack," the authors contend. "It appears that money is not just regarded as a medium of exchange, but as an object of evaluation in its own right."

The study will appear in the March issue of the Journal of Consumer Research.

Copyright 2006 by United Press International

Explore further: Don't expect straight answers on data sharing from the firms that profit from it

Related Stories

Mafia and multinationals milk Italy's green energy boom

July 26, 2015

Thousands of solar panels glint in the sun, but the prized farmland beneath lies barren. While the Italian island of Sardinia revels in a renewable energy boom, the long arm of organised crime risks sullying its clean power ...

Home efficiency upgrades fall short, don't pay, study says

June 23, 2015

Home efficiency measures such as installing new windows or replacing insulation deliver such a small fraction of their promised energy savings that they may not save any money over the long run, according to the surprising ...

Recommended for you

New nanomaterial maintains conductivity in 3-D

September 4, 2015

An international team of scientists has developed what may be the first one-step process for making seamless carbon-based nanomaterials that possess superior thermal, electrical and mechanical properties in three dimensions.

Secrets of a heat-loving microbe unlocked

September 4, 2015

Scientists studying how a heat-loving microbe transfers its DNA from one generation to the next say it could further our understanding of an extraordinary superbug.

Plants also suffer from stress

September 4, 2015

High salt in soil dramatically stresses plant biology and reduces the growth and yield of crops. Now researchers have found specific proteins that allow plants to grow better under salt stress, and may help breed future generations ...

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.