Attitudes Towards Risk: An Experiment
Attitudes Towards Risk: An Experiment
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DOI:
10.1111/1467-999x.00161
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发表时间:
2003-02
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影响因子:
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通讯作者:
J. Eichberger;W. Güth;Wieland Müller
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文献类型:
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作者:
J. Eichberger;W. Güth;Wieland Müller
The evaluations of a repeated lottery with and without the option to sell the second-stage lottery are compared theoretically and experimentally. Comparing individuals' risk attitudes, we find that risk attitudes differ depending on the measure of risk attitude applied. We also find that subjects show low or no risk aversion, but put very high value on the opportunity to sell the lottery in the second stage of the decision problem. These findings cast doubts on the suitability of the random price mechanism for truthful revelation of willingness to pay in sequential decision problems. Copyright Blackwell Publishing Ltd 2003.