More or Less: A Model and Empirical Evidence on Preferences for Under- and Overpayment in Trade-In Transactions

Vol. XLVIII (February 2011), 157 –171 *Jungkeun Kim is Senior Lecturer in Marketing, Auckland University of Technology, New Zealand (e-mail: [email protected]). Raghunath Singh Rao is Assistant Professor of Marketing, McCombs School of Business, University of Texas at Austin (e-mail: Raghunath.Rao@mccombs. utexas.edu). Kyeongheui Kim is Assistant Professor of Marketing, Department of Management, University of Toronto (e-mail: kkim@rotman. utoronto.ca). Akshay R. Rao is General Mills Chair in Marketing, Carlson School of Management, University of Minnesota (e-mail: [email protected]). The authors are indebted to Haipeng Chen, Ashwani Monga, Amnon Rappoport, Robert Wyer, Yi Xiang, Rami Zwick, and seminar audiences at Northwestern University, the University of California at Riverside, and the University of Texas at Austin and San Antonio for comments and suggestions. Ziv Carmon served as associate editor of this article. JUNGKEUN KIM, RAGHUNATH SINGH RAO, KYEONGHEUI KIM, and AKSHAY R. RAO*