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This paper examines the role of simplified heuristics in the formation of preferences for public goods. Political scientists have suggested that voters use simplified heuristics based on the positions of familiar parties to infer how a proposed policy will affect them and to cast a vote in line...
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willingness to accept retribution payments in exchange for giving up this good (WTA). Thaler (1980) employs prospect theory to … explain this disparity. The literature contains two different interpretations of his endowment effect theory. Accordingly, the … of endowment effect theory is limited to private goods. The current paper reports on an experiment which finds a …
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Traditionally, economists make a sharp distinction between stated and revealed preferences, viewing the latter as more fully meeting the assumptions of economic analysis. Here, we consider one form of empirical evidence regarding this belief: the consistency of choices in stated and revealed...
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