Karle, Heiko; Kirchsteiger, Georg; Peitz, Martin - In: American Economic Journal: Microeconomics 7 (2015) 2, pp. 101-20
We analyze a consumer-choice model with price uncertainty, loss aversion, and expectation-based reference points. The implications of this model are tested in an experiment in which participants have to make a consumption choice between two sandwiches. Participants differ in their reported taste...