This paper investigates people's preferences for live theatre, and heterogeneity in willingness-to-pay (WTP). A stated preference discrete choice model estimates utility and WTP for different attributes of theatre productions. Previous studies assumed fixed coefficients across all theatre-goers. This study allows coefficients of attributes to vary across individuals in the population, providing information on the heterogeneity of tastes. Theatre-goers' choices are used to estimate individual-based parameters for a person's tastes in theatre productions. The analysis reveals the heterogeneity of tastes for different types of plays and ticket price; and the significance of 'reviews' by critics and 'word of mouth' opinions as important variables determining choice.
ASJC Scopus subject areas
- Sociology and Political Science
- Economics and Econometrics