ERN: ConsumptionPub Date : 2019-12-31DOI: 10.3126/qjmss.v1i2.27447
Rajendra Maharjan
{"title":"A Conceptual Discourse on Consumer’s Preference of Brandy","authors":"Rajendra Maharjan","doi":"10.3126/qjmss.v1i2.27447","DOIUrl":"https://doi.org/10.3126/qjmss.v1i2.27447","url":null,"abstract":"Background: Liquor industry is growing to become a global giant by empowering its competitiveness. Nowadays, alcohol has been accepted and welcomed as a normal part of everyday life with innovatively embedded alcohol development and promotion. Alcohol products consist of a range of offerings including Gin, wine, vodka and Scotch, among which brandy has been gaining higher importance. \u0000Objectives: This paper explores the consumers’ preferences for brandy, their knowledge on brandy and also the factors determining the consumer choice on consumption of brandy.This study aims to contribute to the brandy consumer behavior-responsive managerial implications, especially in hospitality industry by identifying the attributes that are perceived important for the marketing of brandy to a large segment of dynamic market. \u0000Methods: The academic discourse on this paper includes exploration of multiple dimensions related to the study of consumer behavior. Theories concerning consumer preferences, with specific focus on Reasoned Action Theory, Engel Kollat Blackwell Model, Hybrid Choice Model, Hedonic Price Model, Consumer Perception Factor Model and Conjoint Analysis are reviewed.The study on brandy, along with the differences from other alcoholic beverages, has also been included. \u0000Findings: Brandy represents a wide category and the bases of differences among types of brandy are studied along with the review of brandy products available worldwide. This study highlights brandy consumption practices in the world, benefits of brandy consumption and people’s perception towards brandy among other alcoholic beverages. \u0000Conclusions: Alcohol is the fastest growing industry and requires consumer preference for the promotions and penetration of the product into the market, and for developingthe product and improving it further.","PeriodicalId":431230,"journal":{"name":"ERN: Consumption","volume":"65 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-12-31","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"133764432","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Power Against Random Expenditure Allocation for Revealed Preference Tests","authors":"P. Hjertstrand","doi":"10.2139/ssrn.3500716","DOIUrl":"https://doi.org/10.2139/ssrn.3500716","url":null,"abstract":"Abstract This paper proposes new power indices for revealed preference tests. The indices are based on models of irrational consumption behavior where the consumer randomly allocates a certain fraction of expenditure. The methods allow a researcher to trace out the entire power curve against random expenditure allocation. The power indices are illustrated on altruistic choices in experimental data.","PeriodicalId":431230,"journal":{"name":"ERN: Consumption","volume":"254 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"114325365","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Revealed Statistical Consumer Theory","authors":"R. Allen, Paweł Dziewulski, John Rehbeck","doi":"10.2139/ssrn.3474472","DOIUrl":"https://doi.org/10.2139/ssrn.3474472","url":null,"abstract":"We provide a microfoundation to use aggregates (e.g. mean purchases) to evaluate consumer choice data. We study statistical consumer theory where an individual maximizes a preference over distributions of bundles when constrained by a statistic of the distribution (e.g. mean expenditure). We show statistical consumer theory is observationally equivalent to an individual whose preferences depend only on the statistic of the distribution. This means that despite working with distributions, the empirical content of the model only depends on a finite-dimensional statistic. This approach generalizes random quasilinear utility with random income and mean-variance preferences.\u0000","PeriodicalId":431230,"journal":{"name":"ERN: Consumption","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-10-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"131153946","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"History-Based Choice Between Consumption Streams","authors":"A. Ghazaryan","doi":"10.2139/ssrn.3434919","DOIUrl":"https://doi.org/10.2139/ssrn.3434919","url":null,"abstract":"The empirical and experimental research reveals that an agent may manifest preferences which differ from the classical economics postulates. A few of such manifestations are utility from anticipation, preferences for improvement, preferences for happy endings and memorable consumptions. This paper studies those phenomena by static choices within a dynamic context. This research provides an axiomatic framework and a model which rationalises such decisions; furthermore, it shows that there is an additive utility function which represents the preferences with those specifications.<br>","PeriodicalId":431230,"journal":{"name":"ERN: Consumption","volume":"42 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-09-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130084148","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
ERN: ConsumptionPub Date : 2019-09-01DOI: 10.17016/FEDS.2019.067
Brigitte Roth Tran
{"title":"Sellin' in the Rain: Adaptation to Weather and Climate in the Retail Sector","authors":"Brigitte Roth Tran","doi":"10.17016/FEDS.2019.067","DOIUrl":"https://doi.org/10.17016/FEDS.2019.067","url":null,"abstract":"Using novel methodology and proprietary daily store-level sporting goods and apparel brand data, I find that, consistent with long-run adaptation to climate, sales sensitivity to weather declines with historical norms and variability of weather. Short-run adaptation to weather shocks is dominated by changes in what people buy and how they buy it, with little intertemporal substitution. Over four weeks, a one-standard deviation one-day weather shock shifts sales by about 10 percent. While switching between indoor and outdoor stores offsets a small portion of contemporaneous responses to weather, I find no evidence that ecommerce offsets any of the effects.","PeriodicalId":431230,"journal":{"name":"ERN: Consumption","volume":"9 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2019-09-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"125507120","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Factors Affecting Muslim Household Consumption Patterns","authors":"Abdul Aziz, I. Permana, Mawar Jannati Alfarisi","doi":"10.2139/ssrn.3445315","DOIUrl":"https://doi.org/10.2139/ssrn.3445315","url":null,"abstract":"The pattern of public consumption is determined by the level of income and its social environment. Consumption patterns are also associated with the number of family members, the fewer members of the family, the fewer the needs that must be met. However, in some Muslim households, there is a small income but the pattern of consumption is greater than the income, some also have few family members but has a large consumption pattern. This is in contrast to the existing theory. In the study will relate how the role of education in consumption patterns and their impact on interest in saving.","PeriodicalId":431230,"journal":{"name":"ERN: Consumption","volume":"1 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-08-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"123555780","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Oakland's Sugar-Sweetened Beverage Tax: Impacts on Prices, Purchases and Consumption by Adults and Children","authors":"J. Cawley, David Frisvold, Anna Hill, David Jones","doi":"10.2139/ssrn.3450705","DOIUrl":"https://doi.org/10.2139/ssrn.3450705","url":null,"abstract":"Several cities in the U.S. have implemented taxes on sugar-sweetened beverages (SSBs) in an attempt to improve public health and raise revenue. On July 1, 2017, Oakland introduced a tax of one cent per ounce on SSBs. In this paper, we estimate the impact of the tax on retail prices, product availability, purchases, and child and adult consumption of taxed beverages in Oakland, as well as of potential substitute beverages. We collected data from Oakland stores and their customers and a matched group of stores in surrounding counties and their customers. We collected information in the months prior to the implementation of the tax and again a year later on: (1) prices, (2) purchase information from customers exiting the stores, and (3) a follow-up household survey of adults and child beverage purchases and consumption. We use a difference-in-differences identification strategy to estimate the impact of the tax on prices, purchases, and consumption of taxed beverages. We find that roughly 60 percent of the tax was passed on to consumers in the form of higher prices. There was a slight decrease in the volume of SSBs purchased per shopping trip in Oakland and a small increase in purchases at stores outside of the city, resulting in a decrease in purchases of 11.33 ounces per shopping trip that is not statistically significant. We find some evidence of increased shopping by Oakland residents at stores outside of the city. We do not find evidence of substantial changes in the overall consumption of SSBs or of added sugars consumed through beverages for either adults or children after the tax.","PeriodicalId":431230,"journal":{"name":"ERN: Consumption","volume":"54 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-08-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"128592706","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Broadening the Scope of Financial Literacy to Incorporate Self-Control, Budgeting, and Heuristics","authors":"H. Shefrin","doi":"10.2139/ssrn.3438681","DOIUrl":"https://doi.org/10.2139/ssrn.3438681","url":null,"abstract":"Current measures of financial literacy focus on knowledge, and the literature on financial literacy has described important findings about the extent and impact of limited financial knowledge across the population. This paper discusses issues associated with broadening the scope of the financial literacy approach to include behaviors related to self-control, budgeting, and heuristics. Although the financial literacy literature models financial literacy as human capital in a neoclassical optimization framework, the discussion suggests that properly modeling this type of human capital cannot be easily accomplished through a neoclassical optimization model in which human capital is treated as a generic stock variable. Rather, budgetary human capital needs to be modeled explicitly as part of psychologically feasible heuristic processes that govern household behavior. In this respect, human capital involves more than fact-based knowledge and computational ability, but also mental processes that underlie action. Human capital pertains to both \"knowing'' and \"doing.'' Financial literacy in the form of knowledge can only produce better decisions when paired with human capital associated with acting on that knowledge.","PeriodicalId":431230,"journal":{"name":"ERN: Consumption","volume":"161 2‐3","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-08-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"120849289","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Lumpy Durable Consumption Demand and the Limited Ammunition of Monetary Policy","authors":"A. Mckay, J. Wieland","doi":"10.3386/W26175","DOIUrl":"https://doi.org/10.3386/W26175","url":null,"abstract":"The prevailing neo‐Wicksellian view holds that the central bank's objective is to track the natural rate of interest (\u0000 r\u0000 *), which itself is largely exogenous to monetary policy. We challenge this view using a fixed‐cost model of durable consumption demand, in which expansionary monetary policy prompts households to accelerate purchases of durable goods. This yields an intertemporal trade‐off in aggregate demand as encouraging households to increase durable holdings today leaves fewer households acquiring durables going forward. Interest rates must be kept low to support demand going forward, so accommodative monetary policy today reduces \u0000 r\u0000 * in the future. We show that this mechanism is quantitatively important in explaining the persistently low level of real interest rates and \u0000 r\u0000 * after the Great Recession.\u0000","PeriodicalId":431230,"journal":{"name":"ERN: Consumption","volume":"33 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"131136593","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Consumer Learning and Firm Dynamics","authors":"Zachary L. Mahone, Filippo Rebessi","doi":"10.2139/ssrn.3447343","DOIUrl":"https://doi.org/10.2139/ssrn.3447343","url":null,"abstract":"We propose a general equilibrium model of industry where consumers learn about firms' unobserved product quality over time. Because consumers learn through purchase decisions, price setting is a crucial lever through which firms manipulate future demand. We map equilibrium policies to a range of empirical evidence on industry, firm, product and price dynamics. We then study how firms respond as consumer information varies. Specifically, we show that firms exacerbate information problems by constraining learning more aggressively in those markets where consumers are less informed. Developing an indicator of consumer information by product category, we find these are typically markets for consumer durables. Finally, the efficiency implications of this behavior and interaction with size-dependent policies are explored.","PeriodicalId":431230,"journal":{"name":"ERN: Consumption","volume":"22 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2019-08-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"132261167","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}