The Trading Stamp-Price Relationship

TLDR: The consumer seems to associate trading stamps with higher prices, as shown by the October 1966 food boycott [4, 5, 10, 18] and price perception surveys provide additional support for the existence of such consumer attitudes as mentioned in this paper.

Abstract: The consumer seems to associate trading stamps with higher prices, as shown by the October 1966 food boycott [4, 5, 10, 18]. Price perception surveys provide additional support for the existence of such consumer attitudes [2]. Although consumers may associate trading stamps with higher prices, the literature examining the relationship is contradictory [1, 3, 8, 9, 12, 13, 14, 15]. Both proponents and foes of trading stamps for example, have used the same U. S. Department of Agriculture study [17] to support opposite positions on this question [13, p. 17]. The use of food prices as the basis of comparison for most studies of the trading stamp-price relationship accounts for much of the debate [9, pp. 23-4]: