Behavioural Economics + Psychology
Test the anchoring effect on price estimates
Show two groups a high or low number first and compare their estimates of an unrelated price.
- DifficultyIntermediate
- Estimated time2–7 days
- Budget₹0
- ClassClass 11 to college
- Team2–3 people
- You needNo equipment
Prerequisites: Averages
Original · by TechnifyedExperimentResearch ProjectFree to doNo equipmentResearch orientedWell documentedTwo subjects
Overview
Anchoring is the tendency for an irrelevant number to pull later estimates towards it. Give two random groups different anchors, ask the same question and compare the averages.
Why build this?
It is a famous result that reliably replicates in a classroom, and it teaches proper experimental design.
What you will learn
- What anchoring is
- How to assign people randomly to groups
- How to compare group averages fairly
- How to debrief participants
Skills you will use
Safety and ethics
- This project involves people. Explain what you are doing and get their consent (a parent's or teacher's for children), let anyone stop at any time, collect only what you need, and remove names before you share results.
Materials and tools
- Two versions of a one-page form
- At least 40 volunteers
Tools and software
Step-by-step roadmap
Start
You will finish with: two averages, a chart and a short report with a debrief note.
- 1
Prerequisites
Know this first: averages. Then collect the 2 items in the materials list.
- 2
Learn
- What anchoring is
- How to assign people randomly to groups
- How to compare group averages fairly
- How to debrief participants
- 3
Plan
Write your question, your hypothesis and the one thing you will change. Draw the table you will fill in before you start.
- 4
Build
- Prepare two forms: one asks "Is this watch worth more or less than ₹500?", the other "…₹5,000?".
- Both then ask "What do you think it costs?".
- Hand out the forms at random, 20 of each.
- Collect and average the estimates for each group.
- Compare the averages and the spread.
- Explain the purpose to everyone afterwards.
- 5
Test
Random assignment matters: shuffle the forms so neither group is special.
- 6
Document
Record every reading with its unit, photograph the setup and draw a graph of the result. Report structure
- 7
Present
Explain the question, the method and the graph in two minutes; keep the setup ready to demonstrate. Presentation structure · Viva questions
- 8
Publish
Share the report and photos with your class, a science fair or your school magazine.
Expected outcome
Two averages, a chart and a short report with a debrief note.
Other versions of this project
Beginner version
Run it with one class of 20.
Advanced version
Add a no-anchor group and test whether the difference is statistically significant.
Research version
Test whether the anchor's effect is weaker for people who know the product well.
Make this project better
- BasicRun it with one class of 20.
- This projectTest the anchoring effect on price estimates
- AdvancedAdd a no-anchor group and test whether the difference is statistically significant.
- ResearchTest whether the anchor's effect is weaker for people who know the product well.
Ways to do this project
Text marked "You write this" is a prompt for your own work; everything else is specific to this project.
- Problem
- Does an irrelevant number shown first change people's price estimates?
- Hypothesis
- If people see a higher anchor, then their average estimate will be higher.
- Variables
- Independent: anchor value. Dependent: price estimate. Controlled: product shown, wording, setting
Materials and procedure are in Materials and the Roadmap.
Observation table
You write thisDraw a table with one column for what you change, one for each repeat reading and one for the average.
- Graph
- You write thisPlot what you changed along the bottom and what you measured up the side; use a bar chart for categories and a line graph for numbers.
- Results
- You write thisState what the graph shows in one or two sentences, with numbers.
- Conclusion
- You write thisSay whether the result supports your hypothesis and why you think so.
Display board
- Title and your name
- Question
- Hypothesis
- Materials
- Procedure (with photos)
- Data table and graph
- Conclusion
- What you would do next
Questions judges ask
- What is random assignment?
- Why is the anchor irrelevant?
- Why debrief?
- What would you change if you did this again?
- What was your biggest source of error, and how did you reduce it?
- Where is this idea used in real life?
- Research question
- Does an irrelevant number shown first change people's price estimates?
- Hypothesis
- If people see a higher anchor, then their average estimate will be higher.
- Variables
- Independent: anchor value. Dependent: price estimate. Controlled: product shown, wording, setting
- Methodology
- Test whether the anchor's effect is weaker for people who know the product well.
- Data collection
- Written estimates from two randomly assigned groups of at least 20, with no names.
- Analysis
- You write thisChoose the table, chart or test that answers the question; report averages with their spread.
- Limitations
- A small student sample; estimates of an unfamiliar product may be more easily anchored.
Literature review
Find five to eight sources (your textbook, review articles, reports) and note what each says about your question. Group them by idea, not one after another, and end with what is still not known.
References
List every source you used in one style throughout (author, year, title, where it was published, link and the date you opened it).
Working as a team
2–3 people. Suggested roles:
Report and presentation
Report structure
- Title and question
- Background: the science behind it
- Hypothesis
- Materials
- Method (steps, with a diagram or photo)
- Observations (table)
- Results (graph and calculation)
- Sources of error
- Conclusion
- What you would do next
- References
Presentation structure
- The question
- Why it matters
- The idea behind it
- Setup (photo)
- Method in three steps
- Results (one clear graph)
- What the result means
- Errors and limits
- Conclusion and next step
Viva questions
Try answering before you open each one.
What is random assignment?
Giving each person an equal chance of being in either group.
Why is the anchor irrelevant?
It carries no real information about the price.
Why debrief?
Participants deserve to know what was tested.
Where is anchoring used in shops?
"Was ₹999, now ₹499" price tags.
Resources
Source and attribution
Original
Written by Technifyed. Free to use for your own school or college project; write the report in your own words. Added 1 Oct 2026.
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