Introduction The predominant method of economic evaluation is cost–utility analysis, which
uses cardinal preference elicitation methods, including the standard gamble and time trade …

This book describes the new generation of discrete choice methods, focusing on the many
advances that are made possible by simulation. Researchers use these statistical methods …

Bayesian methods have become widespread in marketing literature. We review the essence
of the Bayesian approach and explain why it is particularly useful for marketing problems …

The standard revealed preference argument relies on an implicit assumption that a decision
maker considers all feasible alternatives. The marketing and psychology literatures …

Traditional discrete‐choice models assume buyers are aware of all products for sale. In
markets where products change rapidly, the full information assumption is untenable. I …

How does advertising influence consumer decisions and market outcomes? We utilize
detailed data on consumer shop** behavior and choices over bank accounts to …

I estimate demand for auto insurance in the presence of two types of market frictions: search
and switching costs. I develop an integrated utility‐maximizing model in which consumers …

Many theories of consumer behavior involve thresholds and discontinuities. In this paper, we
investigate consumers' use of screening rules as part of a discrete-choice model …

Consumers often choose products by first forming a consideration set and then choosing
from among considered products. When there are many products to screen (or many …

We offer an econometric framework that models consumer's consideration set formation as
an outcome of her costly information search behavior. Because frequently purchased …