We introduce a measure of the severity of violations of the revealed preference axioms, which we call the money pump index (MPI). The measure is based on the idea that a consumer who violates the axioms is subject to being exploited as a money pump. The MPI has a simple interpretation as the certain dollar amount that can be extracted from a consumer who behaves irrationally. We carry out an em...

This is the appendix to Zhu and Wallace [4]. In it, we prove the claims in section 3 of that paper that are made about the model with a non degenerate wealth distribution. We begin by formally setting out the definition of an equilibrium for that model. Let Y = {y = (y1, y2) ∈ Z × Z : y1 + y2 ≤ Z}. An element of Y is an individual portfolio after bond purchases (y1 is the amount of money and y2...

BACKGROUND Lowering the price of fruit and vegetables is a promising strategy in stimulating the purchase of those foods. However, the true effects of this strategy are not well studied and it is unclear how the money saved is spent. The aim of this study is to examine the effects of a 25% discount on fruits and vegetables on food purchases in a supermarket environment. METHODS A randomized c...

Background: Consumer ethical behavior has attracted much attention in recent years. However, most empirical research has focused on specific instances of ethical consumer behavior and ignored other ethical behaviors. This means a complete lack of understanding of the lifestyles of ethical consumers. In this article, while referring to the formation of ethical consumption, a full range of ethica...

We conduct an incentivized experiment to test whether the willingness to pay is higher for debit cards compared to cash for three consumer products. Our findings support this conjecture also after controlling for cash availability, spending type, price familiarity and consumption habits of the products. The evidence thus suggests that different representations of money matters for consumer beha...