Quantitative tests of the perceived relative argument model : reply to Guo and Regenwetter (2014)

Guo and Regenwetter (2014) took the perceived relative argument model, added various auxiliary assumptions of their own about the utility of money, made assumptions about possible stochastic specifications, and tested the various combined models against data from an experiment they conducted. However, their modeling assumptions were questionable and their experiment was unsatisfactory: The stimuli omitted crucial information, the incentives were weak, and the task load was excessive. These shortcomings undermine the quality of the data, and the study provides no new information about the scope and limitations of the perceived relative argument model or its performance relative to other models of risky choice