Well, I don’t want to want to spend more money on wine if I couldn’t tell it from cheaper wine in a blind tasting… (EDIT: But I don’t know what aspect of heterosexual intercourse that maps to, if any.)
Wine can taste Good or Bad, have a real cost that’s Cheap or Expensive, and be LabeledExpensive or LabeledCheap. Good Expensive wine is better value for money than Bad Cheap wine.
If Expensive wine is Good and Cheap wine is Bad and label is irrelevant, Good Expensive LabeledCheap wine ~ Good Expensive LabeledExpensive wine > Bad Cheap LabeledCheap wine ~ Bad Cheap LabeledExpensive wine.
If LabeledExpensive wine is Good and LabeledCheap wine is Bad and real price is irrelevant, Good Cheap LabeledExpensive wine > Good Expensive LabeledExpensive wine > Bad Cheap LabeledCheap wine > Bad Expensive LabeledCheap wine.
Learning that the latter model is true is only useful if you can pay for cheap wine then be told it’s expensive when you drink it. In most situations, you see what you’re paying for—wine is LabeledCheap iff it’s Cheap. Your only options are Good Expensive LabeledExpensive wine and Bad Cheap LabeledCheap wine, and you always prefer the former to the latter. So learning which model is true shouldn’t change your wine-buying habits.
That’s quite possible in real life, but then you don’t need all that evaluation of preferences in various models—you always buy cheap wine, regardless of label and taste.
Well, I don’t want to want to spend more money on wine if I couldn’t tell it from cheaper wine in a blind tasting… (EDIT: But I don’t know what aspect of heterosexual intercourse that maps to, if any.)
Wine can taste Good or Bad, have a real cost that’s Cheap or Expensive, and be LabeledExpensive or LabeledCheap. Good Expensive wine is better value for money than Bad Cheap wine.
If Expensive wine is Good and Cheap wine is Bad and label is irrelevant, Good Expensive LabeledCheap wine ~ Good Expensive LabeledExpensive wine > Bad Cheap LabeledCheap wine ~ Bad Cheap LabeledExpensive wine.
If LabeledExpensive wine is Good and LabeledCheap wine is Bad and real price is irrelevant, Good Cheap LabeledExpensive wine > Good Expensive LabeledExpensive wine > Bad Cheap LabeledCheap wine > Bad Expensive LabeledCheap wine.
Learning that the latter model is true is only useful if you can pay for cheap wine then be told it’s expensive when you drink it. In most situations, you see what you’re paying for—wine is LabeledCheap iff it’s Cheap. Your only options are Good Expensive LabeledExpensive wine and Bad Cheap LabeledCheap wine, and you always prefer the former to the latter. So learning which model is true shouldn’t change your wine-buying habits.
Better value for money? If you check the coefficients on the perceived quality increase, they pretty strongly recommend saving your money.
That’s quite possible in real life, but then you don’t need all that evaluation of preferences in various models—you always buy cheap wine, regardless of label and taste.