The Paradox of Choice in the Age of AI

Abstract

This chapter explores how choice overload and information overload—amplified by algorithmic personalization, persuasive user experience (UX) design, and digital abundance—reshape consumer behavior in online environments. Drawing on theories of cognitive load, mental shortcuts (heuristics), and Dual System Thinking, it examines how emotional triggers such as fear of missing out (FoMO), scarcity, and urgency interact with digital design to influence impulsive decision-making. The chapter also considers coping strategies adopted by consumers, including filtering tools and digital self-regulation, and reflects on the ethical and psychological challenges posed by artificial intelligence (AI)-driven personalization. It concludes by outlining future research directions, particularly on how these dynamics impact decision quality and digital well-being across diverse user profiles.

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