Compensatory Choice Models of Noncompensatory Processes: The Effect of Varying Context

The sensitivity of the parameters and fit of compensatory choice models to contextual variations in information processing strategies is examined. A set of predictions is derived concerning specification errors which may arise when a compensatory model misrepresents a “true,” noncompensatory choice process. These predictions are then tested in an experimental analysis of apartment choice behavior. Logit analysis and protocol analysis are employed to assess how the parameters and fit of a compensatory model vary in light of changes in the underlying pattern of information processing across choice sets of differing sizes. Although attribute usage and parameter variation across set sizes conformed to theoretical expectations, a hypothesized decrease in predictive accuracy was not supported.