A dynamic, stochastic, computational model of preference reversal phenomena

Preference orderings among a set of options may depend on the elicitation method (e.g., choice or pricing); these preference reversals challenge traditional decision theories. Previous attempts to explain these reversals have relied on allowing utility of the options to change across elicitation methods by changing the decision weights, the attribute values, or the combination of this information--still, no theory has successfully accounted for all the phenomena. In this article, the authors present a new computational model that accounts for the empirical trends without changing decision weights, values, or combination rules. Rather, the current model specifies a dynamic evaluation and response process that correctly predicts preference orderings across 6 elicitation methods, retains stable evaluations across methods, and makes novel predictions regarding response distributions and response times.