Delay discounting determines delivery fees in an e-commerce simulation: A behavioral economic perspective
✍ Scribed by Donald A. Hantula; Kimberly Bryant
- Publisher
- John Wiley and Sons
- Year
- 2004
- Tongue
- English
- Weight
- 76 KB
- Volume
- 22
- Category
- Article
- ISSN
- 0742-6046
No coin nor oath required. For personal study only.
✦ Synopsis
Abstract
Participants ordered music CDs and bargained for delivery time and fees in a simulated on‐line store. After ordering a CD, participants engaged in a delivery‐fee bargaining task that was embedded in a psychophysical up–down staircase titration procedure in which options of next‐day delivery for a fee and delayed free delivery were made more or less attractive based on previous choices. A hyperbolic function derived from the matching law fit the data. These results are consistent with a behavioral‐economic account of intertemporal choice in which delivery fees are seen as a swap of money for time. © 2005 Wiley Periodicals, Inc.