Buying without using - biases of German BahnCard buyers

Hendrik Schmale (), Thomas Ehrmann () and Alexander Dilger ()
Additional contact information
Hendrik Schmale: Institute of Strategic Management - WWU - Westfälische Wilhelms-Universität Münster = University of Münster
Thomas Ehrmann: Institute of Strategic Management - WWU - Westfälische Wilhelms-Universität Münster = University of Münster

Post-Print from HAL

Abstract: We use a large data set of German railway travellers to analyse the purchasing decision for fare-reducing BahnCards. We expect that this tariff choice is neither completely rational nor irrational, but bounded-rational in a meaningful way. Actually we predict a flat-rate bias, i.e. an under-use of their BahnCards by many customers. However, we estimate that this bias is not too large. The empirical results approve our hypotheses for the most part, especially for the more expensive BahnCard50, whereas the under-use of the cheaper BahnCard25 is so extensive that it is not worthwhile on average.

Keywords: Social; Sciences; &; Humanities (search for similar items in EconPapers)
Date: 2011-10-24
Note: View the original document on HAL open archive server: https://hal.science/hal-00744822
References: View references in EconPapers View complete reference list from CitEc
Citations:

Published in Applied Economics, 2011, 45 (07), pp.933-941. ⟨10.1080/00036846.2011.613781⟩

Downloads: (external link)
https://hal.science/hal-00744822/document (application/pdf)

Related works:
Journal Article: Buying without using -- biases of German BahnCard buyers (2013)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-00744822

DOI: 10.1080/00036846.2011.613781

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().