{"id":637,"date":"2018-01-27T15:36:28","date_gmt":"2018-01-27T20:36:28","guid":{"rendered":"https:\/\/carleton.ca\/keirarmstrong\/?page_id=637"},"modified":"2019-07-05T09:26:24","modified_gmt":"2019-07-05T13:26:24","slug":"a-process-realistic-theory-of-consumer-choice-abstract","status":"publish","type":"page","link":"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/","title":{"rendered":"\u201cA Process-Realistic Theory of Consumer Choice\u201d\u2014Abstract"},"content":{"rendered":"<p style=\"font-weight: 400;\">This paper takes a novel approach to thinking about and solving consumer decision problems. It uses product-unit specifications of willingness to pay as the basis for step-by-step maximization of consumer surplus subject to an appropriate budget constraint. If these specifications are given by an economically valid system of inverse demands, the resulting quantity-bundle solution is shown to be the same as that of the standard utility maximization approach up to any fractional units. Suitable alternative willingness-to-pay specifications are shown to be derivable from choice models that incorporate relevant psychological phenomena. Important impacts on consumer surplus analysis are shown as well.<\/p>\n<p style=\"font-weight: 400;\">Key Words: behavioural consumer choice; consumer surplus; context-dependent preferences; mental accounting; policy\/project evaluation; willingness to pay.<\/p>\n<p style=\"font-weight: 400;\"><em>JEL<\/em> Classification Numbers: C61, D03, D11, D61, H43.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>This paper takes a novel approach to thinking about and solving consumer decision problems. It uses product-unit specifications of willingness to pay as the basis for step-by-step maximization of consumer surplus subject to an appropriate budget constraint. If these specifications are given by an economically valid system of inverse demands, the resulting quantity-bundle solution is [&hellip;]<\/p>\n","protected":false},"author":6,"featured_media":0,"parent":130,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"","_relevanssi_noindex_reason":"","_mi_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":"","_links_to":"","_links_to_target":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.2 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>\u201cA Process-Realistic Theory of Consumer Choice\u201d\u2014Abstract - Keir Armstrong<\/title>\n<meta name=\"description\" content=\"This paper takes a novel approach to thinking about and solving consumer decision problems. It uses product-unit specifications of willingness to pay as\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/\",\"url\":\"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/\",\"name\":\"\u201cA Process-Realistic Theory of Consumer Choice\u201d\u2014Abstract - Keir Armstrong\",\"isPartOf\":{\"@id\":\"https:\/\/carleton.ca\/keirarmstrong\/#website\"},\"datePublished\":\"2018-01-27T20:36:28+00:00\",\"dateModified\":\"2019-07-05T13:26:24+00:00\",\"description\":\"This paper takes a novel approach to thinking about and solving consumer decision problems. It uses product-unit specifications of willingness to pay as\",\"breadcrumb\":{\"@id\":\"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/carleton.ca\/keirarmstrong\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Papers\",\"item\":\"https:\/\/carleton.ca\/keirarmstrong\/papers\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Works In Progress\",\"item\":\"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/\"},{\"@type\":\"ListItem\",\"position\":4,\"name\":\"\u201cA Process-Realistic Theory of Consumer Choice\u201d\u2014Abstract\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/carleton.ca\/keirarmstrong\/#website\",\"url\":\"https:\/\/carleton.ca\/keirarmstrong\/\",\"name\":\"Keir Armstrong\",\"description\":\"Carleton University\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/carleton.ca\/keirarmstrong\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"\u201cA Process-Realistic Theory of Consumer Choice\u201d\u2014Abstract - Keir Armstrong","description":"This paper takes a novel approach to thinking about and solving consumer decision problems. It uses product-unit specifications of willingness to pay as","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/","twitter_misc":{"Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/","url":"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/","name":"\u201cA Process-Realistic Theory of Consumer Choice\u201d\u2014Abstract - Keir Armstrong","isPartOf":{"@id":"https:\/\/carleton.ca\/keirarmstrong\/#website"},"datePublished":"2018-01-27T20:36:28+00:00","dateModified":"2019-07-05T13:26:24+00:00","description":"This paper takes a novel approach to thinking about and solving consumer decision problems. It uses product-unit specifications of willingness to pay as","breadcrumb":{"@id":"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/a-process-realistic-theory-of-consumer-choice-abstract\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/carleton.ca\/keirarmstrong\/"},{"@type":"ListItem","position":2,"name":"Papers","item":"https:\/\/carleton.ca\/keirarmstrong\/papers\/"},{"@type":"ListItem","position":3,"name":"Works In Progress","item":"https:\/\/carleton.ca\/keirarmstrong\/papers\/works-in-progress\/"},{"@type":"ListItem","position":4,"name":"\u201cA Process-Realistic Theory of Consumer Choice\u201d\u2014Abstract"}]},{"@type":"WebSite","@id":"https:\/\/carleton.ca\/keirarmstrong\/#website","url":"https:\/\/carleton.ca\/keirarmstrong\/","name":"Keir Armstrong","description":"Carleton University","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/carleton.ca\/keirarmstrong\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"}]}},"acf":{"banner_image_type":"none","banner_button":"no"},"_links":{"self":[{"href":"https:\/\/carleton.ca\/keirarmstrong\/wp-json\/wp\/v2\/pages\/637"}],"collection":[{"href":"https:\/\/carleton.ca\/keirarmstrong\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/carleton.ca\/keirarmstrong\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/carleton.ca\/keirarmstrong\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/carleton.ca\/keirarmstrong\/wp-json\/wp\/v2\/comments?post=637"}],"version-history":[{"count":3,"href":"https:\/\/carleton.ca\/keirarmstrong\/wp-json\/wp\/v2\/pages\/637\/revisions"}],"predecessor-version":[{"id":787,"href":"https:\/\/carleton.ca\/keirarmstrong\/wp-json\/wp\/v2\/pages\/637\/revisions\/787"}],"up":[{"embeddable":true,"href":"https:\/\/carleton.ca\/keirarmstrong\/wp-json\/wp\/v2\/pages\/130"}],"wp:attachment":[{"href":"https:\/\/carleton.ca\/keirarmstrong\/wp-json\/wp\/v2\/media?parent=637"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}