Consumer Choice & Behavioral

Gifts from the Registry

Jonah sets up a baby registry to help Amy afford some of the things she’ll need for her newborn. Her coworkers are mad they weren’t invited to the fake baby shower, so the store throws Amy (and others) a baby shower. After getting through the gift portion, Amy thanks everyone for the gifts, but notes that some of the gifts she received were garbage. Only the car seat was a gift that she actually wanted and was the purpose of setting up the baby registry. Gift giving is often considered inefficient because people don’t fully know what the other person’s willingness to pay is for an item. Had Amy been given cash, she could have purchased items that she valued.