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Behavioral Economics Commons

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South Dakota State University

Theses/Dissertations

2018

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Full-Text Articles in Behavioral Economics

Determinants Of Tipping Behavior: Evidence From Us Restaurants, Nusrat Jahan Jan 2018

Determinants Of Tipping Behavior: Evidence From Us Restaurants, Nusrat Jahan

Electronic Theses and Dissertations

This study aims to analyze people’s tipping behavior to assess the factors that determine both the likelihood of leaving a tip and tip size in US restaurants. A total 2,334 away from home eating events are considered in this study based on the nationally representative National Household Food Acquisition and Purchase Survey (FoodAPS) dataset. Two different tipping scenarios are considered for full-service restaurants to examine differences in customers’ behavior under two different situations. Considering that households’ tipping decisions and tip sizes are functions of the demand for personal interest (D"#, ) and the demand for social interest (D&#), different socio-demographic, …