Satisficing and stochastic choice

A-Tier
Journal: Journal of Economic Theory
Year: 2016
Volume: 166
Issue: C
Pages: 445-482

Score contribution per author:

1.341 = (α=2.01 / 3 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Satisficing is a hugely influential model of boundedly rational choice, yet it cannot be easily tested using standard choice data. We develop necessary and sufficient conditions for stochastic choice data to be consistent with satisficing, assuming that preferences are fixed, but search order may change randomly. The model predicts that stochastic choice can only occur amongst elements that are always chosen, while all other choices must be consistent with standard utility maximization. Adding the assumption that the probability distribution over search orders is the same for all choice sets makes the satisficing model a subset of the class of random utility models.

Technical Details

RePEc Handle
repec:eee:jetheo:v:166:y:2016:i:c:p:445-482
Journal Field
Theory
Author Count
3
Added to Database
2026-01-24