Advanced Search
MyIDEAS: Login

Relational aspects of decisions to sell

Contents:

Author Info

  • Jefferson, Therese
  • Taplin, Ross

Abstract

Mental accounting has been identified as an important source of non-fungibility in household and individual decision making. Ostensibly uniform assets, including cash, are perceived differently according to their originating source. In this study we examine assumptions of fungibility by using scenarios within a factorial survey to compare the effects of four specific factors on individuals’ willingness to trade a specified possession that varies according to its relational source, dollar value, uniqueness and the potential buyer's identity. Two measures of willingness to trade are used; a composite distress measure and the minimum price that the participant is willing to accept in exchange for the possession. In addition, data are analyzed to explore relationships between willingness to sell, the four defined characteristics of the possession and participant's characteristics including age, gender, education and income. The possession's source and the buyer's identity dominate effects over the possession's value and uniqueness. The strength of the effects varies significantly depending on how distress is measured and between identifiable population groups.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.sciencedirect.com/science/article/pii/S105353571200090X
Download Restriction: Full text for ScienceDirect subscribers only

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.

Bibliographic Info

Article provided by Elsevier in its journal Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics).

Volume (Year): 41 (2012)
Issue (Month): 5 ()
Pages: 697-704

as in new window
Handle: RePEc:eee:soceco:v:41:y:2012:i:5:p:697-704

Contact details of provider:
Web page: http://www.elsevier.com/locate/inca/620175

Related research

Keywords: Experimental economics; Methodology; Factorial survey; Scenario experiments; Willingness to accept;

Find related papers by JEL classification:

References

References listed on IDEAS
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.:
as in new window
  1. Ashby, Katherine J. & Burgoyne, Carole. B., 2009. "The financial practices and perceptions behind separate systems of household financial management," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 38(3), pages 519-529, June.
  2. Pahl, Jan, 1995. "His money, her money: Recent research on financial organisation in marriage," Journal of Economic Psychology, Elsevier, vol. 16(3), pages 361-376, September.
  3. Winnett, Adrian & Lewis, Alan, 1995. "Household accounts, mental accounts, and savings behaviour: Some old economics rediscovered?," Journal of Economic Psychology, Elsevier, vol. 16(3), pages 431-448, September.
  4. Jefferson, Therese & Taplin, Ross, 2011. "An investigation of the endowment effect using a factorial design," Journal of Economic Psychology, Elsevier, vol. 32(6), pages 899-907.
  5. Bruce Headey & Gary Marks & Mark Wooden, 2005. "The Structure and Distribution of Household Wealth in Australia," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 38(2), pages 159-175, 06.
  6. Cahan, Steven F., 1996. "Political use of income: Some experimental evidence from Capitol Hill," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 25(1), pages 69-87.
  7. Cherry, Todd L., 2001. "Mental accounting and other-regarding behavior: Evidence from the lab," Journal of Economic Psychology, Elsevier, vol. 22(5), pages 605-615, October.
  8. Strahilevitz, Michal A & Loewenstein, George, 1998. " The Effect of Ownership History on the Valuation of Objects," Journal of Consumer Research, University of Chicago Press, vol. 25(3), pages 276-89, December.
  9. Siakantaris, Nikos, 2000. "Experimental Economics under the Microscope," Cambridge Journal of Economics, Oxford University Press, vol. 24(3), pages 267-81, May.
  10. Francesco Guala, 2002. "On the scope of experiments in economics: comments on Siakantaris," Cambridge Journal of Economics, Oxford University Press, vol. 26(2), pages 261-267, March.
  11. McGraw, A Peter & Tetlock, Philip E & Kristel, Orie V, 2003. " The Limits of Fungibility: Relational Schemata and the Value of Things," Journal of Consumer Research, University of Chicago Press, vol. 30(2), pages 219-29, September.
  12. Burgoyne, Carole B., 1995. "Financial organisation and decision-making within western 'households'," Journal of Economic Psychology, Elsevier, vol. 16(3), pages 421-430, September.
Full references (including those not matched with items on IDEAS)

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:eee:soceco:v:41:y:2012:i:5:p:697-704. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.