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- W2048762574 abstract "We present a model of consumers' price sensitivity that explicitly deals with the existence of so-called psychological price levels or odd prices, i.e. prices ending in an odd number. The model is formulated in a latent class framework, in which splines are used to model utility as a function of prices in consumer segments. The knots in the splines represent psychological prices. Additionally, the model allows for inferences on price expectations and the role of price as an indicator of quality. The model is tailored to the analysis of so-called Gabor–Granger price experiments. We provide an empirical application to the analysis of a Gabor–Granger study, and investigate the performance of our model relative to a competing model.PsycINFO classification: 2240; 3920" @default.
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- W2048762574 date "1998-04-01" @default.
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- W2048762574 title "A model for the effects of psychological pricing in Gabor–Granger price studies" @default.
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- W2048762574 doi "https://doi.org/10.1016/s0167-4870(98)00006-3" @default.
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