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Ordering effect and price sensitivity in discrete choice experiments: need we worry?

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  • Trine Kjær
  • Mickael Bech
  • Dorte Gyrd‐Hansen
  • Kristian Hart‐Hansen

Abstract

The objective of this paper is to analyse the impact that attribute ordering has on the relative importance of the price attribute. A discrete choice experiment was performed in order to elicit psoriasis patients' preferences for treatment. We tested for ordering effect with respect to the price attribute, and disclosed noticeable higher price sensitivity when the price attribute was placed at the end of the program description. Our results indicate that preferences are context dependent and that heuristics may be used in the choice process. Our result does not, however, suggest that ordering effect is a symptom of lexicographic ordering. Copyright © 2006 John Wiley & Sons, Ltd.

Suggested Citation

  • Trine Kjær & Mickael Bech & Dorte Gyrd‐Hansen & Kristian Hart‐Hansen, 2006. "Ordering effect and price sensitivity in discrete choice experiments: need we worry?," Health Economics, John Wiley & Sons, Ltd., vol. 15(11), pages 1217-1228, November.
    • Handle: RePEc:wly:hlthec:v:15:y:2006:i:11:p:1217-1228
    DOI: 10.1002/hec.1117
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    References listed on IDEAS

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