Enhancing cheap talk scripts in choice experiments

Hypoethetical bias in stated preference studies is an essential problem which reduces the validity of the obtained welfare estimates for non-market goods. In the attempt to mitigate hypothetical bias, a type of reminder known as Cheap Talk, has been applied in previous studies and found to overall eliminate some of the hypothetical bias. The present paper tests and addition to Cheap Talk, an Op-out Reminder. The Opt-Out Reminder is an objective short script presented prior to the choice sets, prompting the respondent to choose the opt-out alternative, if he/she finds the proposed policy generated alternatives in a choice set too expensive. The results sugggest that adding and Opt-Out Reminder to Cheap Talk can in fact reduce hypothetical bias even further and reduces some of the ineffectiveness of CT in relation to the survey bid range and experienced respondents