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Delving into Choice Internals: A Joint Discrete Choice/Attribute Rating Model


  • Gubanova, Tatiana
  • Volinskiy, Dmitriy
  • Adamowicz, Wiktor L.
  • Veeman, Michele M.


Multi-attribute modeling has rapidly progressed from being a novelty to becoming a widely used tool of economic research. When both choice and attribute ratings data are available, a model that makes joint use of both offers informative inference opportunities. In the present study we develop a joint model which utilizes both choice and ratings data, allows for scale usage heterogeneity, is robust to violations of utility continuity and completeness. The model is used to obtain WTP estimates for genetically-modified content and country-of-origin attributes in an survey-based study of Canola oil labeling. The median survey respondent's WTP for non-GM Canola oil was found to be CA$0.92/liter. The median WTP for non-specification of GM content was found to be approximately 80% of the WTP for the explicitly non-GM-labeled product. The median WTP to purchase Canada-made Canola oil versus a U.S. product was estimated to be CA$0.86/liter.

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  • Gubanova, Tatiana & Volinskiy, Dmitriy & Adamowicz, Wiktor L. & Veeman, Michele M., 2008. "Delving into Choice Internals: A Joint Discrete Choice/Attribute Rating Model," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6252, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea08:6252

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    References listed on IDEAS

    1. Rossi P. E & Gilula Z. & Allenby G. M, 2001. "Overcoming Scale Usage Heterogeneity: A Bayesian Hierarchical Approach," Journal of the American Statistical Association, American Statistical Association, vol. 96, pages 20-31, March.
    2. Hauser, John R., 1985. "Agendas and consumer choice," Working papers 1641-85., Massachusetts Institute of Technology (MIT), Sloan School of Management.
    3. 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.
    4. Edward Morey & Jennifer Thacher & William Breffle, 2006. "Using Angler Characteristics and Attitudinal Data to Identify Environmental Preference Classes: A Latent-Class Model," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 34(1), pages 91-115, May.
    5. David Hensher & John Rose & William Greene, 2005. "The implications on willingness to pay of respondents ignoring specific attributes," Transportation, Springer, vol. 32(3), pages 203-222, May.
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    Cited by:

    1. Pozo, Veronica F. & Saak, Alexander E. & Hanawa-Peterson, Hikaru, 2009. "Product Origin and Reputation for Quality: the Case of Organic Foods," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49503, Agricultural and Applied Economics Association.

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    Demand and Price Analysis; Institutional and Behavioral Economics;

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