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Mitigating Hypothetical Bias in Stated Preference Data: Evidence from Sports Tourism

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  • John Whitehead
  • Melissa S. Weddell
  • Pete Groothuis

Abstract

One of the major criticisms of stated preference data is hypothetical bias. Using a unique data set of both stated and actual behavior we test for hypothetical bias of stated preference survey responses. We consider whether respondents tend to overstate their participatory sporting event behavior ex ante when compared to their actual behavior at different registration fees. We find that behavioral intentions accurately predicts actual behavior at a middle level of respondent certainty, over predicts actual behavior at a lower level of certainty and under predicts behavior at a higher level of certainty. This suggests that respondent uncertainty corrections can be used to mitigate hypothetical bias. Stated preference data can be used better understand actual behavior in situations where no data exist. Key Words: Hypothetical bias, stated preference data

Suggested Citation

  • John Whitehead & Melissa S. Weddell & Pete Groothuis, 2014. "Mitigating Hypothetical Bias in Stated Preference Data: Evidence from Sports Tourism," Working Papers 14-06, Department of Economics, Appalachian State University.
  • Handle: RePEc:apl:wpaper:14-06
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    File URL: http://econ.appstate.edu/RePEc/pdf/wp1406.pdf
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    1. Hypothetical Bias presentation at TAMU; & et cetera
      by John Whitehead in Environmental Economics on 2014-04-11 14:37:46

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    Cited by:

    1. Whitehead, John C. & Wicker, Pamela, 2018. "Estimating willingness to pay for a cycling event using a willingness to travel approach," Tourism Management, Elsevier, vol. 65(C), pages 160-169.
    2. Kaat de Corte & John Cairns & Richard Grieve, 2021. "Stated versus revealed preferences: An approach to reduce bias," Health Economics, John Wiley & Sons, Ltd., vol. 30(5), pages 1095-1123, May.
    3. Penn, Jerrod & Howard, Gregory E. & Hu, Wuyang, 2023. "Model Choice, Hypothetical Bias and Risk Aversion: A Charitable Donation Application," 2023 Annual Meeting, July 23-25, Washington D.C. 335998, Agricultural and Applied Economics Association.
    4. Tra Thi Trinh & Alistair Munro, 2022. "Climate change and migration decisions: A choice experiment from the Mekong Delta, Vietnam," GRIPS Discussion Papers 22-07, National Graduate Institute for Policy Studies.
    5. John C. Whitehead & Pamela Wicker, 2017. "Using Willingness to Travel to Estimate the Monetary Value of Intangible Benefits Derived from Active Sport Event Tourism," Working Papers 17-03, Department of Economics, Appalachian State University.
    6. Peter Groothuis & Kurt Rotthoff & John C. Whitehead, 2022. "The consumer surplus and economic impact of a participatory micro-event: The Beech Mountain Metric," Working Papers 22-07, Department of Economics, Appalachian State University.
    7. Pamela Wicker & John C. Whitehead & Bruce K. Johnson & Daniel S. Mason, 2017. "The effect of sporting success and management failure on attendance demand in the Bundesliga: a revealed and stated preference travel cost approach," Applied Economics, Taylor & Francis Journals, vol. 49(52), pages 5287-5295, November.
    8. Kevin Atkinson & John C. Whitehead, 2015. "Predictive validity of stated preference data: evidence from mountain bike park visits before and after trail system expansion," Applied Economics Letters, Taylor & Francis Journals, vol. 22(9), pages 730-733, June.
    9. John C. Whitehead & Pamela Wicker, 2019. "Examining return visitation and the monetary value of participatory sport events: The role of attribute non-attendance," Working Papers 19-13, Department of Economics, Appalachian State University.
    10. John C. Whitehead & Pamela Wicker, 2018. "Valuing Non-Market Benefits of Participatory Sport Events Using Willingness to Travel: Payment Card vs Random Selection with Mitigation of Hypothetical Bias," Working Papers 18-06, Department of Economics, Appalachian State University.

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    More about this item

    Keywords

    hypothetical bias; stated preference data;

    JEL classification:

    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism
    • Q26 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Recreational Aspects of Natural Resources
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

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