DOES DIFFERENTIAL FRAMING OF OPT-OUT ALTERNATIVES IN DISCRETE CHOICE EXPERIMENTS (DCES) MATTER? COMPARISON OF RANDOM UTILITY MAXIMIZATION (RUM) AND RANDOM REGRET MINIMIZATION (RRM) MODELS
Author(s)
Chaugule S1, Hay JW1, Young G2, Martin OA3, Drabo EF1
1University of Southern California, Los Angeles, CA, USA, 2Children's Hospital Los Angeles, Los Angeles, CA, USA, 3Barcelona GSE, Barcelona, Spain
OBJECTIVES: We systematically investigate random utility maximization and random regret minimization modeling approaches to establish the impact of differently framed opt-out alternatives in discrete choice experiments. We hypothesize that within the same experiment, when opt out alternatives are framed as a rejection of all the available alternatives, it is likely to have a detrimental impact on the performance of RRM model, while the performance of RUM model suffers more when the opt out is framed as a respondent being indifferent between the alternatives on offer. METHODS: We used two waves of data from a discrete choice experiment (N = 227; N= 344); the first wave included an opt-out option implying a rejection of choice alternatives (i.e. none of these) while the second wave included an opt-out option implying a position of ‘indifference’ between the choice alternatives. We compared RUM and RRM models of different sophistications (e.g.; multinomial logit and mixed logit) in terms of parameter estimates, log likelihood and the Ben-Akiva and Swait test for non-nested models. RESULTS: In line with hypotheses, RUM models performed significantly better (P<0.01) than RRM models when opt–out alternative implied rejection of choice alternatives i.e. none of these. The RRM models performed significantly better (p<0.01) than the RUM models when the opt-out alternative implied a position of ‘indifference’. RRM models had difficulty in handling the ‘none of these’ opt-out alternative while the RUM models had difficulty in handling the ‘indifference’ opt out alternative as was evident by the suspiciously large value of opt-out constant in the model parameter estimates for these cases. CONCLUSIONS: The framing of opt out alternatives influences the type of behavioral framework to be considered for modeling.
Conference/Value in Health Info
2015-05, ISPOR 2015, Philadelphia, PA, USA
Value in Health, Vol. 18, No. 3 (May 2015)
Code
PRM85
Topic
Methodological & Statistical Research
Topic Subcategory
PRO & Related Methods
Disease
Multiple Diseases