Erschienen in:Working Paper of the Max Planck Institute for Tax Law and Public Finance ; No. 2011-11
Umfang:
1 Online-Ressource (32 p)
Sprache:
Englisch
DOI:
10.2139/ssrn.1934762
Identifikator:
Entstehung:
Anmerkungen:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments September 2011 erstellt
Beschreibung:
We implement a simple two-shop search model in the laboratory with the aim of testing if consumers behave differently in equivalent situations, where prices are displayed either as net prices or as gross prices with discounts. We compare search behavior in base treatments (where both shops post net prices without discounts) to discount treatments (where either the first shop or the second shop posts gross prices with separate discount others). We find that subjects search less in both treatments with discount frames irrespective where the discount is offered. We argue that this bias results from subjects basing their decisions on salient characteristics of the situation rather than on objective price distributions