Revisiting Cheap Talk with New Evidence from a Field Experiment Academic Article

abstract

• We assess the reduction of hypothetical bias in consumers' willingness to pay (WTP) for products by applying a generic, short, and neutral cheap talk script in a retail setting. Using an open-ended elicitation mechanism with non-hypothetical, hypothetical, and hypothetical with cheap talk treatments, our results indicate that the hypothetical WTP values are higher than the nonhypothetical values, but the hypothetical with cheap talk values are not significantly different from non-hypothetical estimates. Copyright 2011 Western Agricultural Economics Association.

authors

• Nayga, Rodolfo
• Park, John

published proceedings

• JOURNAL OF AGRICULTURAL AND RESOURCE ECONOMICS

author list (cited authors)

• Silva, A., Nayga, R., Campbell, B. L., & Park, J. L.

complete list of authors

• Silva, Andres||Nayga, Rodolfo M Jr||Campbell, Benjamin L||Park, John L

publication date

• August 2011

published in

• JOURNAL OF AGRICULTURAL AND RESOURCE ECONOMICS  Journal

keywords

• Bdm
• Cheap Talk
• Field Experiment
• Hypothetical Bias
• Willingness-to-pay

start page

• 280

end page

• 291

volume

• 36

issue

• 2