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Honestly, why are you driving a BMW?

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Listed author(s):
  • Johansson-Stenman, Olof
  • Martinsson, Peter

Abstract

This paper proposes that people derive utility not only from goods or their attributes as in standard models, but also from their self-image as influenced by their own perception of their preferences. In a representative survey, most respondents considered their own concern for status when purchasing a car to be minor in comparison with the status concerns of others. Similarly, most individuals considered themselves to be more environmentally concerned than other people. These results are consistent with an extension of the conventional theory where an individual’s selfimage is added as an argument in the utility function.

(This abstract was borrowed from another version of this item.)

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Article provided by Elsevier in its journal Journal of Economic Behavior & Organization.

Volume (Year): 60 (2006)
Issue (Month): 2 (June)
Pages: 129-146

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Handle: RePEc:eee:jeborg:v:60:y:2006:i:2:p:129-146
Contact details of provider: Web page: http://www.elsevier.com/locate/jebo

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Find related papers by JEL classification:
  • A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
  • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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