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Addressing elimination and selection by aspects decision rules in discrete choice experiments: does it matter?

Seda Erdem (), Danny Campbell () and Carl Thompson

No 169839, 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota from Agricultural and Applied Economics Association

Abstract: Priorities for public health innovations are typically not considered equally by all members of the public. When faced with a choice between various innovation options, it is, therefore, possible that some respondents eliminate and/or select innovations based on certain characteristics. This paper proposes a flexible method for exploring and accommodating situations where respondents exhibit such behaviours, whilst addressing preference heterogeneity. We present an empirical case study on the public’s preferences for health service innovations. We show that allowing for elimination-by-aspects and/or selection-by-aspects behavioural rules leads to substantial improvements in model fit and, importantly, has implications for willingness to pay estimates and scenario analysis.

Keywords: Consumer/Household Economics; Health Economics and Policy; Institutional and Behavioral Economics; Public Economics; Research Methods/ Statistical Methods (search for similar items in EconPapers)
Pages: 30
Date: 2014
New Economics Papers: this item is included in nep-dcm and nep-ino
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Persistent link: https://EconPapers.repec.org/RePEc:ags:aaea14:169839

DOI: 10.22004/ag.econ.169839

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