Scarcity and consumer choice behavior

Two experiments are performed to test hypotheses derived from commodity theory. Commodity theory promotes a psychological conceptualization of traditionally economic variables such as supply, demand and utility. The theory concerns itself mainly with the effect of restricted availability upon the valuation of communications, but in the present paper the effect of restricted availability and attainability on the preference for material goods (recipe books) is investigated.The first experiment was designed to test the effect of degree of availability (low, middle or high) and cause of unavailability (accidental unavailability, unavailability due to popularity, unavailability due to limited supply and unavailability due to both limited supply and popularity) on the choice between three recipe books in a simulated product test. The results suggest that the theory is valid only for attractive products. For subjects who were not attracted to the product this relationship was reversed (they avoided choosing the scarce product), indicating the arousal of an ‘altruism’ motive in the experimental setting.The second experiment was designed to test the effect of attainability (attainable, unattainable changed to attainable and unattainable) and cause of unattainability (accidental, popularity, limited supply and both limited supply and popularity) on the same kind of choice. The results again suggest that commodity theory is valid only for subjects attracted to the good, and only for the restricted attainability situation. For subjects not attracted to the product field no treatment effects were found. Commodity theory makes no clear prediction of the effects of unattainability, so reactance theory was used to predict the effects of this variable. The hypothesis that an unattainable good is valued more than an attainable good had to be rejected. A possible explanation based on the occurrence of frustration in this condition is discussed.