<p>I think you're referring to the <a href="https://en.wikipedia.org/wiki/Decoy_effect" rel="noreferrer"><strong>decoy effect</strong></a>. A popular example of this is the <em>Economist</em> subscription puzzle, popularized in <a href="https://www.ted.com/talks/dan_ariely_are_we_in_control_of_our_own_decisions/transcript?language=en" rel="noreferrer">Dan Ariely's TED Talk</a> (starting at 12:22).</p>

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2020-12-01T21:56:03.110Z
2020-12-01T21:56:03.110Z
Herr K.
<p>When I was in university, I remember studying some kind of topic in adv microeconomics where someone gives you three options, where one is obviously worse and is put there just to deceive you so that you don't pick the one with greater utility. Could you please help me remember the name of this fallacy/dilemma/theorem and what is the best strategy to solve this problem?</p>
<p>Thanks a lot</p>

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2020-12-01T20:28:36.113Z
something like the axiom of irrelevant alternatives?
EB3112
<preferences><mechanism-design><rational-expectations><bounded-rationality>
Can you please help me find this topic in Mechanism design/Rational choice theory?
plastico
# Can you please help me find this topic in Mechanism design/Rational choice theory?

(Asked by: username_0 on 2020-12-01)

When I was in university, I remember studying some kind of topic in adv microeconomics where someone gives you three options, where one is obviously worse and is put there just to deceive you so that you don't pick the one with greater utility. Could you please help me remember the name of this fallacy/dilemma/theorem and what is the best strategy to solve this problem?

Thanks a lot

**Tags:** preferences, mechanism-design, rational-expectations, bounded-rationality
> **Comments:**
> **username_1**: something like the axiom of irrelevant alternatives?  

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## 1 answers

### Answer by username_2 on 2020-12-01. Score: 5 | Accepted answer

I think you're referring to the [**decoy effect**](https://en.wikipedia.org/wiki/Decoy_effect). A popular example of this is the *Economist* subscription puzzle, popularized in [Dan Ariely's TED Talk](https://www.ted.com/talks/dan_ariely_are_we_in_control_of_our_own_decisions/transcript?language=en) (starting at 12:22).


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