English

Semantics meets attractiveness: Choice by salience

Theoretical Economics 2022-08-30 v2

Abstract

We describe a context-sensitive model of choice, in which the selection process is shaped not only by the attractiveness of items but also by their semantics ('salience'). All items are ranked according to a relation of salience, and a linear order is associated to each item. The selection of a single element from a menu is justified by one of the linear orders indexed by the most salient items in the menu. The general model provides a structured explanation for any observed behavior, and allows us to to model the 'moodiness' of a decision maker, which is typical of choices requiring as many distinct rationales as items. Asymptotically all choices are moody. We single out a model of linear salience, in which the salience order is transitive and complete, and characterize it by a behavioral property, called WARP(S). Choices rationalizable by linear salience can only exhibit non-conflicting violations of WARP. We also provide numerical estimates, which show the high selectivity of this testable model of bounded rationality.

Keywords

Cite

@article{arxiv.2204.08798,
  title  = {Semantics meets attractiveness: Choice by salience},
  author = {Alfio Giarlotta and Angelo Petralia and Stephen Watson},
  journal= {arXiv preprint arXiv:2204.08798},
  year   = {2022}
}
R2 v1 2026-06-24T10:51:57.876Z