This file is part of IDEAS, which uses RePEc data


[ Papers | Articles | Software | Books | Chapters | Authors | Institutions | JEL Classification | NEP reports | Search | New papers by email | Author registration | Rankings | Volunteers | FAQ | Blog | Help! ]

Preference Reversal: Information-Processing Effect or Rational Non-transitive Choice?

Author info | Abstract | Publisher info | Download info | Related research | Statistics
Author Info
Loomes, Graham
Starmer, Chris
Sugden, Robert

Additional information is available for the following registered author(s):

Abstract

Preference reversal is often explained as an information-processing effect, whereby individuals respond differently to valuation problems than to straight choices. Regret theory offers the alternative explanation that individuals act on consistent, but nontransitive, preferences. Regret theory, in its most general form, is shown to make specific predictions about nontransitive pairwise choices that correspond with the preferences reversal phenomenon. Some experiments designed to discriminate between these two explanations are reported. The main finding is that, as regret theory predicts, the preference reversal phenomenon can be reproduced in situations in which subjects confront only choice problems. Copyright 1989 by Royal Economic Society.

Download Info
To download:

If you experience problems downloading a file, check if you have the proper application to view it first. Information about this may be contained in the File-Format links below. In case of further problems read the IDEAS help file. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://links.jstor.org/sici?sici=0013-0133%28198944%2999%3A395%3C140%3APRIEOR%3E2.0.CO%3B2-G&origin=bc
File Format: application/pdf
File Function: full text
Download Restriction: Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Publisher Info
Article provided by Royal Economic Society in its journal The Economic Journal.

Volume (Year): 99 (1989)
Issue (Month): 395 (Supplement)
Pages: 140-51
Download reference. The following formats are available: HTML, plain text, BibTeX, RIS (EndNote), ReDIF
Handle: RePEc:ecj:econjl:v:99:y:1989:i:395:p:140-51

Contact details of provider:
Web page: http://www.res.org.uk/
More information through EDIRC

Order Information:
Web: http://www.blackwellpublishers.co.uk/asp/journal.asp?ref=0013-0133

For technical questions regarding this item, or to correct its listing, contact: (Christopher F. Baum).

Related research
Keywords:

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Cox, James C. & Grether, David M., 1993. "The Preference Reversal Phenomenon: Response Mode, Markets and Incentives," Working Papers 810, California Institute of Technology, Division of the Humanities and Social Sciences. [Downloadable!]
  2. El-Gamal, Mahmoud A. & Grether, David M., 1993. "Uncovering Behavioral Strategies: Likelihood-Based Experimental Data Mining," Working Papers 850, California Institute of Technology, Division of the Humanities and Social Sciences. [Downloadable!]
  3. S. Abu Turab Rizvi, 2001. "Preference Formation and the Axioms of Choice," Review of Political Economy, Taylor and Francis Journals, vol. 13(2), pages 141-159, April. [Downloadable!] (restricted)
  4. Birnbaum, Michael H. & Schmidt, Ulrich, 2006. "Empirical Tests of Intransitivity Predicted by Models of Risky Choice," Economics working papers 2006,10, Christian-Albrechts-University of Kiel, Department of Economics. [Downloadable!]
  5. Ulrich Schmidt & Chris Starmer & Robert Sugden, 2005. "Explaining preference reversal with third-generation prospect theory," Discussion Papers 2005-19, The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham. [Downloadable!]
  6. Michael H. Birnbaun & Ulrich Schmidt, 2008. "An Experimental Investigation of Violations of Transitivity in Choice under Uncertainty," Kiel Working Papers 1396, Kiel Institute for the World Economy. [Downloadable!]
    Other versions:
  7. Elodie Brahic & Valérie Clément & Nathalie Moureau & Marion Vidal, 2008. "A la recherche des Merit Goods," Working Papers 08-08, LAMETA, Universtiy of Montpellier, revised Jun 2008. [Downloadable!]
  8. Chris Starmer, 1996. "Explaining risky choices without assuming preferences," Social Choice and Welfare, Springer, vol. 13(2), pages 201-213, April. [Downloadable!] (restricted)
  9. Belianin Alexis, 1998. "Risk Attitudes and Choice under Uncertainty: Experimental Evidence from Russia," EERC Working Paper Series 98-01e, EERC Research Network, Russia and CIS. [Downloadable!]
Statistics
Access and download statistics

Did you know? IDEAS also computes impact factors for journals and working paper series.

This page was last updated on 2008-9-27.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.