RT Journal Article
SR Electronic
T1 Learning and Fatigue Effects Revisited: Investigating the Effects of Accounting for Unobservable Preference and Scale Heterogeneity
JF Land Economics
JO Land Econ
FD University of Wisconsin Press
SP 324
OP 351
DO 10.3368/le.90.2.324
VO 90
IS 2
A1 Czajkowski, Mikolaj
A1 Giergiczny, Marek
A1 Greene, William H.
YR 2014
UL http://le.uwpress.org/content/90/2/324.abstract
AB Using multiple choice tasks per respondent in discrete choice experiment studies increases the amount of available information. However, respondents’ learning and fatigue may lead to changes in observed utility function preference (taste) parameters, as well as the variance in its error term (scale); they need to be controlled to avoid potential bias. A sizable body of empirical research offers mixed evidence in terms of whether these ordering effects are observed. We point to a significant component in explaining these differences; we show how accounting for unobservable preference and scale heterogeneity can influence the magnitude of observed ordering effects. (JEL Q23, Q51)