Please use this identifier to cite or link to this item: http://hdl.handle.net/1893/8957
Appears in Collections:Economics Working Papers
Peer Review Status: Unrefereed
Title: The Effects of Experience on Preference Uncertainty: Theory and Empirics for Public and Quasi-Public Goods
Authors: Czajkowski, Mikolaj
Hanley, Nicholas
LaRiviere, Jacob
Contact Email: n.d.hanley@stir.ac.uk
Citation: Czajkowski M, Hanley N & LaRiviere J The Effects of Experience on Preference Uncertainty: Theory and Empirics for Public and Quasi-Public Goods. Economics Working paper, 2012-17.
Keywords: Bayesian, demand estimation, stated preference, generalized multinomial logit, scale, scale variance.
JEL Code(s): C51, D83, Q51, H43
Issue Date: Aug-2012
Series/Report no.: Economics Working paper, 2012-17
Abstract: This paper develops a model of demand estimation in which consumers learn about their true preferences through consumption experiences. We develop a theoretical model of Bayesian updating, perform comparative statics over the model, and show how the theoretical model can be consistently incorporated into a reduced form econometric model. We then estimate the model using data collected for two quasi experience with a good will make consumers more certain over their preferences in both mean and variance are supported in each case.‐public goods. We find that the predictions of the theoretical exercise that additional
Type: Working or Discussion Paper
URI: http://hdl.handle.net/1893/8957
Affiliation: University of Warsaw
Economics
University of Tennessee

Files in This Item:
File Description SizeFormat 
SEDP-2012-17-Czajkowski-Hanley-LaRiviere.pdf497.47 kBAdobe PDFView/Open


This item is protected by original copyright



Items in the Repository are protected by copyright, with all rights reserved, unless otherwise indicated.

If you believe that any material held in STORRE infringes copyright, please contact library@stir.ac.uk providing details and we will remove the Work from public display in STORRE and investigate your claim.