The evidence presented on transaction utility was the beer on the beach and hockey ticket questionnaires,
and the data on sports pricing.
The role of fairness is obviously quite important in determining reference prices.
A large-scale telephone survey undertaken by Daniel Kahneman,
Jack Knetch and myself is under way and we hope it will provide additional evidence on two important issues in this area. First, what are the determinants of people’s per-ceptions of fairness?
Second, how are market prices
influenced by these perceptions? Evidence on the former comes directly from the survery research,
while evidence on the latter must come from aggregate economic data.
The latter evidence is much more difficult
to obtain.