Relational aspects of decisions to sell

Mental accounting has been identified as an important source of non-fungibility in household and individual decision making. Ostensibly uniform assets, including cash, are perceived differently according to their originating source. In this study we examine assumptions of fungibility by using scenar...

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Main Authors: Jefferson, Therese, Taplin, Ross
Format: Journal Article
Published: Elsevier Inc. 2012
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/41257
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author Jefferson, Therese
Taplin, Ross
author_facet Jefferson, Therese
Taplin, Ross
author_sort Jefferson, Therese
building Curtin Institutional Repository
collection Online Access
description Mental accounting has been identified as an important source of non-fungibility in household and individual decision making. Ostensibly uniform assets, including cash, are perceived differently according to their originating source. In this study we examine assumptions of fungibility by using scenarios within a factorial survey to compare the effects of four specific factors on individuals’ willingness to trade a specified possession that varies according to its relational source, dollar value, uniqueness and the potential buyer's identity. Two measures of willingness to trade are used; a composite distress measure and the minimum price that the participant is willing to accept in exchange for the possession. In addition, data are analyzed to explore relationships between willingness to sell, the four defined characteristics of the possession and participant's characteristics including age, gender, education and income. The possession's source and the buyer's identity dominate effects over the possession's value and uniqueness. The strength of the effects varies significantly depending on how distress is measured and between identifiable population groups.
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spelling curtin-20.500.11937-412572017-09-13T14:12:17Z Relational aspects of decisions to sell Jefferson, Therese Taplin, Ross scenario experiments willingness to accept factorial survey experimental economics methodology Mental accounting has been identified as an important source of non-fungibility in household and individual decision making. Ostensibly uniform assets, including cash, are perceived differently according to their originating source. In this study we examine assumptions of fungibility by using scenarios within a factorial survey to compare the effects of four specific factors on individuals’ willingness to trade a specified possession that varies according to its relational source, dollar value, uniqueness and the potential buyer's identity. Two measures of willingness to trade are used; a composite distress measure and the minimum price that the participant is willing to accept in exchange for the possession. In addition, data are analyzed to explore relationships between willingness to sell, the four defined characteristics of the possession and participant's characteristics including age, gender, education and income. The possession's source and the buyer's identity dominate effects over the possession's value and uniqueness. The strength of the effects varies significantly depending on how distress is measured and between identifiable population groups. 2012 Journal Article http://hdl.handle.net/20.500.11937/41257 10.1016/j.socec.2012.07.004 Elsevier Inc. fulltext
spellingShingle scenario experiments
willingness to accept
factorial survey
experimental economics
methodology
Jefferson, Therese
Taplin, Ross
Relational aspects of decisions to sell
title Relational aspects of decisions to sell
title_full Relational aspects of decisions to sell
title_fullStr Relational aspects of decisions to sell
title_full_unstemmed Relational aspects of decisions to sell
title_short Relational aspects of decisions to sell
title_sort relational aspects of decisions to sell
topic scenario experiments
willingness to accept
factorial survey
experimental economics
methodology
url http://hdl.handle.net/20.500.11937/41257