Schmidt, Ulrich; Seidl, Christian - In: Theory and Decision 77 (2014) 3, pp. 323-339
Common ratio effects should be ruled out if subjects’ preferences satisfy compound independence, reduction of compound … observation of common ratio effects. We observe that compound independence and reduction of compound lotteries hold, whereas … violations of coalescing (i.e., configural weight theory) instead of violations of compound independence (i.e., rank …