Bosch-Domènech, Antoni; Silvestre, Joaquim - Department of Economics and Business, Universitat … - 2006
high-probability losses. Indeed, our experimental participants tend to avoid fair risks for large (up to € 90), high …-probability (80%) losses. Our research hinges on a novel experimental method designed to alleviate the house-money bias that pervades … is more basic, namely: do people display risk aversion when facing large losses, or large gains? And, at the risk of …