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Behavioral economics aspires to replace the agents of neoclassical economics with living, breathing human beings. Here, the author argues that behavioral economics, like its neoclassical counterpart, often neglects the role of active sense-making that motivates and guides much human behavior....
Persistent link: https://www.econbiz.de/10012130847
human nature, pays equal attention to cognition's successes and failures, embraces multidisciplinary insights, and avoids …
Persistent link: https://www.econbiz.de/10011976074
Persistent link: https://www.econbiz.de/10013165122
We develop interpretable, quantitative indices of the objective and subjective complexity of lottery choice problems that can be computed for any standard dataset. These indices capture the predicted error rate in identifying the lottery with the highest expected value, where the predictions are...
Persistent link: https://www.econbiz.de/10014340230
. Using an experiment with online workers, we find that subjects choose the risky lottery rather than a sure payment …
Persistent link: https://www.econbiz.de/10011994857
This paper provides a systematic analysis of individual attitudes towards ambiguity, based on laboratory experiments …. The design of the analysis allows to capture individual behavior across various levels of ambiguity, ranging from low to … high. Attitudes towards risk and attitudes towards ambiguity are disentangled, providing pure measures of ambiguity …
Persistent link: https://www.econbiz.de/10010365123
This paper provides a systematic analysis of individual attitudes towards ambiguity, based on laboratory experiments …. The design of the analysis allows to capture individual behavior across various levels of ambiguity, ranging from low to … high. Attitudes towards risk and attitudes towards ambiguity are disentangled, providing pure measures of ambiguity …
Persistent link: https://www.econbiz.de/10010489289
Ambiguity aversion has shown to be economically relevant and has been proposed as an explanation for many phenomena in … economics and finance. While the literature has suggested a large variety of elicitation methods to measure ambiguity … consistency of individual ambiguity preferences elicited using a variety of incentivized tasks, non-incentivized thought …
Persistent link: https://www.econbiz.de/10010490651
. We conduct a behavioral experiment that confirms these predictions, both for experimental variation in the costs of …
Persistent link: https://www.econbiz.de/10011863553
We refine the understanding of individual preferences across social lotteries, whereby the payoffs of a pair of subjects are exposed to random shocks. We find that aggregate behavior is ex-post and ex-ante inequality averse, but also that there is a wide variety of individual preferences and...
Persistent link: https://www.econbiz.de/10011476573