We run a novel experiment to explore the relationship between the perception of real-life risks and the demand for risk … life. For each risk, subjects can pay premiums in order to reduce the likelihood of total bankruptcy. Our results show a … complex interplay of mortality perception and demand for risk reduction. We observe that perceived annual mortality positively …

The perception of risk affects how people behave during crises. We conduct a series of experiments to explore how … people form COVID-19 mortality risk beliefs and the implications for prosocial behavior. We first document that people … overestimate their own risk and that of young people, while underestimating the risk old people face. We show that the availability …

We report on a laboratory experiment testing for the presence of loss aversion, as separate from risk aversion … loss by experimental participants. Our experimental design augments the Holt-Laury risk preference elicitation methodology … additional reluctance to participate in a mixed domain lottery beyond that predicted by risk aversion. We show that only …