A BEJEAP Topics article.

Abstract

A choice experiment eliciting environmental values with both real and hypothetical trade-offs is set up in order to test for hypothetical bias. A larger hypothetical bias was found in a between-subject than in a within-subject design, using otherwise identical scenarios, which can explain previous diverging results in the literature. We argue that people strive for consistency between their attitudes and behaviors, leading them to act in ways that correspond with their prior hypothetical statements. People hence seem to prefer to do what they say they would do, although this may not always reflect their true preferences regarding the good being valued.

Submitted: September 26, 2007 · Accepted: September 1, 2008 · Published: September 18, 2008

Recommended Citation

Johansson-Stenman, Olof and Svedsäter, Henrik (2008) "Measuring Hypothetical Bias in Choice Experiments: The Importance of Cognitive Consistency," The B.E. Journal of Economic Analysis & Policy: Vol. 8 : Iss. 1 (Topics), Article 41.
DOI: 10.2202/1935-1682.1898
Available at: http://www.bepress.com/bejeap/vol8/iss1/art41

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