Are choice experiments incentive compatible? A test with quality differentiated beef steaks
This study compares hypothetical and nonhypothetical responses to choice experiment questions. We test for hypothetical bias in a choice experiment involving beef ribeye steaks with differing quality attributes. In general, hypothetical responses predicted higher probabilities of purchasing beef ste...
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| Published in | American journal of agricultural economics Vol. 86; no. 2; pp. 467 - 482 |
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| Main Authors | , |
| Format | Journal Article |
| Language | English |
| Published |
01.05.2004
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| Online Access | Get more information |
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| Summary: | This study compares hypothetical and nonhypothetical responses to choice experiment questions. We test for hypothetical bias in a choice experiment involving beef ribeye steaks with differing quality attributes. In general, hypothetical responses predicted higher probabilities of purchasing beef steaks than nonhypothetical responses. Thus, hypothetical choices overestimate total willingness-to-pay for beef steaks. However, marginal willingness-to-pay for a change in steak quality is, in general, not statistically different across hypothetical and actual payment settings. |
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| ISSN: | 0002-9092 1467-8276 |
| DOI: | 10.1111/j.0092-5853.2004.00592.x |