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Polarized Preferences in Homegrown Value Auctions

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  • Hurley, Terrance M.
  • Yue, Chengyan
  • Anderson, Neil O.

Abstract

Homegrown value-auction experiments are useful for exploring preferences for controversial product attributes. These auctions have emphasized estimating the effect of the attribute on the willingness to pay (WTP) for a product. The likelihood that individuals are willing to purchase any products with the attribute has received less attention, even though this could also be useful to researchers, marketers, and policy makers. This article shows how simultaneous, single-unit auctions can be used to estimate not just WTPs, but also the likelihood that individuals are willing to purchase any products with a controversial attribute.

Suggested Citation

  • Hurley, Terrance M. & Yue, Chengyan & Anderson, Neil O., 2013. "Polarized Preferences in Homegrown Value Auctions," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 38(2), pages 1-17, August.
    • Handle: RePEc:ags:jlaare:157775
    DOI: 10.22004/ag.econ.157775
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    Keywords

    Consumer/Household Economics; Institutional and Behavioral Economics; Research Methods/ Statistical Methods;
    All these keywords.

    JEL classification:

    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • C18 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Methodolical Issues: General
    • C19 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Other
    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

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