Estimating Price-Quality Tradeoffs Using Comparative Judgments

Abstract

A subtractive model was found to describe how subjects traded off price and quality values when equating two purchases of ground beef. Derived estimates of price change per unit of quality varied as a function of whether price or quality judgments were required and whether the quality dimension was expressed in positive (percent lean) or negative terms (percent fat). Results were discussed in terms of factors that affect the generality of conclusions about price—quality tradeoffs.