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potentially confounding decision biases. …
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Estimates of agents' risk aversion differ between market studies and experimental studies. We demonstrate that the estimates can be reconciled through consistent treatment of agents' tendency for narrow framing, regarding integration of background wealth as well as across risky outcomes: Risk...
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Satisfactory calculations of the welfare cost of aggregate consumption uncertainty require a framework that replicates major features of asset prices and returns, such as the high equity premium and low risk-free rate. A Lucas-tree model with rare but large disasters is such a framework. In a...
Persistent link: https://www.econbiz.de/10012778120
sources. Risk is a pervasive feature of law and public policy. Decision-making in these domains often takes place in the … employs the basic tools of decision theory (probability and utility) to measure the likelihood as well as the costs and … of risk that has been systematically ignored. We call it “super-risk.” Super-risk occurs when, at the time of decision …
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risk. -- Decision making under risk ; laboratory experiment ; prudence ; risk aversion ; temperance ; gender differences …
Persistent link: https://www.econbiz.de/10009124807
Satisfactory calculations of the welfare cost of aggregate consumption uncertainty require a framework that replicates major features of asset prices and returns, such as the high equity premium and low risk-free rate. A Lucas-tree model with rare but large disasters is such a framework. In a...
Persistent link: https://www.econbiz.de/10012465898
relatively little is known about the cognitive processes underlying the two decision modes. Therefore, we analyzed processes of … processes in the deliberate decision mode. We manipulated decision mode between-participants by means of instructions and … the deliberate decision mode. -- Decision Making ; Decision Mode ; Intuition ; Deliberation ; Eye-Tracking …
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