IDEAS home Printed from https://ideas.repec.org/a/eee/transb/v39y2005i7p621-640.html
   My bibliography  Save this article

Assessing the influence of design dimensions on stated choice experiment estimates

Author

Listed:
  • Caussade, Sebastián
  • Ortúzar, Juan de Dios
  • Rizzi, Luis I.
  • Hensher, David A.

Abstract

This paper explores the complexity and cognitive burden associated to stated choice experiments. Complexity is analysed in terms of design dimensions such as the number of available alternatives, the number of attributes used to define these alternatives, the number of levels for those attributes, the range of attribute levels and the number of choice situations presented to each respondent. These design dimensions were systematically varied according to an experimental design in a first design hierarchy; the second hierarchy comprised the attributes of each alternative (travel times and travel cost components). To study the complexity of the experiment we specified a heteroskedastic logit model with the scale parameter specified as a function of the design dimensions. This allowed us to separate the effects of choice complexity from the marginal utility estimates. Our results show that all five design dimensions affect the choice variance, or put it another way, they affect choice consistency. However, we did not find systematic effects on willingness-to-pay estimates.

Suggested Citation

  • Caussade, Sebastián & Ortúzar, Juan de Dios & Rizzi, Luis I. & Hensher, David A., 2005. "Assessing the influence of design dimensions on stated choice experiment estimates," Transportation Research Part B: Methodological, Elsevier, vol. 39(7), pages 621-640, August.
  • Handle: RePEc:eee:transb:v:39:y:2005:i:7:p:621-640
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0191-2615(04)00105-5
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Gaudry, Marc J. I. & Jara-Diaz, Sergio R. & Ortuzar, Juan de Dios, 1989. "Value of time sensitivity to model specification," Transportation Research Part B: Methodological, Elsevier, vol. 23(2), pages 151-158, April.
    2. David Hensher, 2006. "Revealing Differences in Willingness to Pay due to the Dimensionality of Stated Choice Designs: An Initial Assessment," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 34(1), pages 7-44, May.
    3. DeShazo, J. R. & Fermo, German, 2002. "Designing Choice Sets for Stated Preference Methods: The Effects of Complexity on Choice Consistency," Journal of Environmental Economics and Management, Elsevier, vol. 44(1), pages 123-143, July.
    4. Algers, S. & Bergstrom, P. & Dahlberg, M. & Dillen, J.L., 1998. "Mixed Logit Estimation of the Value of Travel Time," Papers 1998:15, Uppsala - Working Paper Series.
    5. Louviere,Jordan J. & Hensher,David A. & Swait,Joffre D. With contributions by-Name:Adamowicz,Wiktor, 2000. "Stated Choice Methods," Cambridge Books, Cambridge University Press, number 9780521788304.
    6. David A. Hensher, 2004. "Identifying the Influence of Stated Choice Design Dimensionality on Willingness to Pay for Travel Time Savings," Journal of Transport Economics and Policy, University of Bath, vol. 38(3), pages 425-446, September.
    7. Swait, Joffre & Adamowicz, Wiktor, 2001. "Choice Environment, Market Complexity, and Consumer Behavior: A Theoretical and Empirical Approach for Incorporating Decision Complexity into Models of Consumer Choice," Organizational Behavior and Human Decision Processes, Elsevier, vol. 86(2), pages 141-167, November.
    8. Fredrik Carlsson, 2003. "The demand for intercity public transport: the case of business passengers," Applied Economics, Taylor & Francis Journals, vol. 35(1), pages 41-50.
    9. de Palma, Andre & Myers, Gordon M & Papageorgiou, Yorgos Y, 1994. "Rational Choice under an Imperfect Ability to Choose," American Economic Review, American Economic Association, vol. 84(3), pages 419-440, June.
    10. Heiner, Ronald A, 1983. "The Origin of Predictable Behavior," American Economic Review, American Economic Association, vol. 73(4), pages 560-595, September.
    11. Patricio E. Pérez & Francisco J. Martínez & Juan de Dios Ortúzar, 2003. "Microeconomic Formulation and Estimation of a Residential Location Choice Model: Implications for the Value of Time," Journal of Regional Science, Wiley Blackwell, vol. 43(4), pages 771-789, November.
    12. Arentze, Theo & Borgers, Aloys & Timmermans, Harry & DelMistro, Romano, 2003. "Transport stated choice responses: effects of task complexity, presentation format and literacy," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 39(3), pages 229-244, May.
    13. David A. Hensher, 2001. "Measurement of the Valuation of Travel Time Savings," Journal of Transport Economics and Policy, University of Bath, vol. 35(1), pages 71-98, January.
    14. Marisa J. Mazzotta & James J. Opaluch, 1995. "Decision Making When Choices Are Complex: A Test of Heiner's Hypothesis," Land Economics, University of Wisconsin Press, vol. 71(4), pages 500-515.
    15. Kenneth E. Train, 1998. "Recreation Demand Models with Taste Differences over People," Land Economics, University of Wisconsin Press, vol. 74(2), pages 230-239.
    16. Fredrik Carlsson & Peter Martinsson, 2003. "Design techniques for stated preference methods in health economics," Health Economics, John Wiley & Sons, Ltd., vol. 12(4), pages 281-294, April.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jürgen Meyerhoff & Malte Oehlmann & Priska Weller, 2015. "The Influence of Design Dimensions on Stated Choices in an Environmental Context," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 61(3), pages 385-407, July.
    2. Mickael Bech & Trine Kjaer & Jørgen Lauridsen, 2011. "Does the number of choice sets matter? Results from a web survey applying a discrete choice experiment," Health Economics, John Wiley & Sons, Ltd., vol. 20(3), pages 273-286, March.
    3. Pascal Haegeli & Wolfgang Haider & Margo Longland & Ben Beardmore, 2010. "Amateur decision-making in avalanche terrain with and without a decision aid: a stated choice survey," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 52(1), pages 185-209, January.
    4. Moser, Riccarda & Raffaelli, Roberta, 2014. "Does attribute cut-off elicitation affect choice consistency? Contrasting hypothetical and real-money choice experiments," Journal of choice modelling, Elsevier, vol. 11(C), pages 16-29.
    5. Parsons, George R. & Hidrue, Michael K. & Kempton, Willett & Gardner, Meryl P., 2014. "Willingness to pay for vehicle-to-grid (V2G) electric vehicles and their contract terms," Energy Economics, Elsevier, vol. 42(C), pages 313-324.
    6. Riccardo Scarpa & John M. Rose, 2008. "Design efficiency for non-market valuation with choice modelling: how to measure it, what to report and why ," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 52(3), pages 253-282, September.
    7. Mikołaj Czajkowski & Marek Giergiczny & William H. Greene, 2012. "Learning and Fatigue Effects Revisited. The Impact of Accounting for Unobservable Preference and Scale Heterogeneity on Perceived Ordering Effects in Multiple Choice Task Discrete Choice Experiments," Working Papers 2012-08, Faculty of Economic Sciences, University of Warsaw.
    8. Robert J. Johnston & Kevin J. Boyle & Wiktor (Vic) Adamowicz & Jeff Bennett & Roy Brouwer & Trudy Ann Cameron & W. Michael Hanemann & Nick Hanley & Mandy Ryan & Riccardo Scarpa & Roger Tourangeau & Ch, 2017. "Contemporary Guidance for Stated Preference Studies," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 4(2), pages 319-405.
    9. Mandy Ryan & Mabelle Amaya‐Amaya, 2005. "‘Threats’ to and hopes for estimating benefits," Health Economics, John Wiley & Sons, Ltd., vol. 14(6), pages 609-619, June.
    10. Ladenburg, Jacob & Olsen, Søren Bøye, 2014. "Augmenting short Cheap Talk scripts with a repeated Opt-Out Reminder in Choice Experiment surveys," Resource and Energy Economics, Elsevier, vol. 37(C), pages 39-63.
    11. Hensher, David A., 2006. "Towards a practical method to establish comparable values of travel time savings from stated choice experiments with differing design dimensions," Transportation Research Part A: Policy and Practice, Elsevier, vol. 40(10), pages 829-840, December.
    12. Tobias Börger & Oliver Frör & Sören Weiß, 2017. "The relationship between perceived difficulty and randomness in discrete choice experiments: Investigating reasons for and consequences of difficulty," Discussion Papers in Environment and Development Economics 2017-03, University of St. Andrews, School of Geography and Sustainable Development.
    13. Campbell, Danny & Hutchinson, W. George & Scarpa, Riccardo, 2006. "Lexicographic Preferences in Discrete Choice Experiments: Consequences on Individual-Specific Willingness to Pay Estimates," Sustainability Indicators and Environmental Valuation Working Papers 12224, Fondazione Eni Enrico Mattei (FEEM).
    14. Kosenius, Anna-Kaisa, 2013. "Preference discontinuity in choice experiment: Determinants and implications," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 45(C), pages 138-145.
    15. Sergio Colombo & Nick Hanley & Jordan Louviere, 2009. "Modeling preference heterogeneity in stated choice data: an analysis for public goods generated by agriculture," Agricultural Economics, International Association of Agricultural Economists, vol. 40(3), pages 307-322, May.
    16. Anderson, Christopher M. & Das, Chhandita & Tyrrell, Timothy J., 2006. "Parking preferences among tourists in Newport, Rhode Island," Transportation Research Part A: Policy and Practice, Elsevier, vol. 40(4), pages 334-353, May.
    17. Rose, John M. & Hensher, David A. & Caussade, Sebastian & Ortúzar, Juan de Dios & Jou, Rong-Chang, 2009. "Identifying differences in willingness to pay due to dimensionality in stated choice experiments: a cross country analysis," Journal of Transport Geography, Elsevier, vol. 17(1), pages 21-29.
    18. Fiebig, D.G. & Viney, R. & Haas, M. & Knox, S. & Street, D. & Weisberg, E. & Bateson, D., 2015. "Complexity and doctor choices when discussing contraceptives," Health, Econometrics and Data Group (HEDG) Working Papers 15/14, HEDG, c/o Department of Economics, University of York.
    19. Francisco Javier Amador & Rosa Marina González & Juan de Dios Ortúzar, 2004. "Preference heterogeneity and willingness to pay for travel time," Documentos de trabajo conjunto ULL-ULPGC 2004-12, Facultad de Ciencias Económicas de la ULPGC.
    20. Yang, Jui-Chen & Johnson, F. Reed & Kilambi, Vikram & Mohamed, Ateesha F., 2015. "Sample size and utility-difference precision in discrete-choice experiments: A meta-simulation approach," Journal of choice modelling, Elsevier, vol. 16(C), pages 50-57.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:transb:v:39:y:2005:i:7:p:621-640. 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: . General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/548/description#description .

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/548/description#description .

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.