how does an employers presentation of retirement savings options affect employees decisions to save?\nby…
how does an employers presentation of retirement savings options affect employees decisions to save?\nby automatically enrolling employees to tap into their default bias\nby assigning employees to different saving courses in the retirement plan\nby offering various saving courses in the retirement plan\nby making the plan more complex to get employees more involved
Answer
Brief Explanations:
Default bias means people tend to stick with the default option. Automatically enrolling employees can take advantage of this bias and influence their decision - making to save for retirement. Assigning employees to different courses or offering various courses may not directly tap into a psychological bias related to decision - making as strongly as automatic enrollment. Making the plan more complex is likely to discourage rather than encourage saving.
Answer:
by automatically enrolling employees to tap into their default bias