Blog: NEST is the nudge people need

Take pensions as an example. The truly rational, self-interested scheme member would surely read communications sent to him, learn to understand where his pension was invested, and know he ought to be saving more for retirement. But, because most of us are choice averse and would prefer to put off until tomorrow whatever does not need to be done today, the vast majority of defined contribution scheme members generally accept the default investment option and will rarely make changes to their scheme. One study conducted among the participants of pension plans for US college professors ...