<abstract xmlns="http://www.w3.org/1999/xhtml"><p>In a laboratory experiment, I examined two behavioural effects: hypothetical bias and the framing effect. I elicited willingness to pay (WTP) for a cosmetic product, and manipulated framing conditions (positive vs. negative attribute framing) and incentives to reveal the actual valuation (hypothetical vs. real). I demonstrated that hypothetical bias has a significant impact on WTP values; however, the framing effect has no effect on the valuation of the product. Similarly, I found no interaction between the two effects. This observation contributes to claims that hypothetical research methods lead to equally reliable data as those based on consequential choices.</p></abstract>

In a laboratory experiment, I examined two behavioural effects: hypothetical bias and the framing effect. I elicited willingness to pay (WTP) for a cosmetic product, and manipulated framing conditions (positive vs. negative attribute framing) and incentives to reveal the actual valuation (hypothetical vs. real). I demonstrated that hypothetical bias has a significant impact on WTP values; however, the framing effect has no effect on the valuation of the product. Similarly, I found no interaction between the two effects. This observation contributes to claims that hypothetical research methods lead to equally reliable data as those based on consequential choices.

Hypothetical bias and framing effect in the valuation of private consumer goods

Central European Economic Journal

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

{"article-title":"Hypothetical bias and framing effect in the valuation of private consumer goods"}

In a laboratory experiment, I examined two behavioural effects: hypothetical bias and the framing effect. I elicited willingness to pay (WTP) for a cosmetic...

Hypothetical bias and framing effect in the valuation of private consumer goods

Published Online: Oct 13, 2019

Page range: 260 - 269

DOI: https://doi.org/10.1515/ceej-2018-0024

Keywords
framing effect, hypothetical bias, laboratory experiment

© 2018 M. Brzozowicz, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Hypothetical bias and framing effect in the valuation of private consumer goods

Published Online: Oct 13, 2019

Page range: 260 - 269

DOI: https://doi.org/10.1515/ceej-2018-0024

Keywordsframing effect, hypothetical bias, laboratory experiment

© 2018 M. Brzozowicz, published by Sciendo

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Keywords
framing effect, hypothetical bias, laboratory experiment