Showing 11 - 20 of 655
We propose an experimental design allowing a behavioral test of the axiom ofcompleteness of individual preferences. The … preferences are significantly incomplete. We use lotteries as choice alternatives and we find that risk aversion is globally …
Persistent link: https://www.econbiz.de/10005866755
An empirically well-established finding is that equity portfolios are concentratedin the domestic equity market of the investor. Previous theoreticaland empirical analyses have mainly focused on institutional explanations andlargely neglected individual behavior. In this study we report the...
Persistent link: https://www.econbiz.de/10005866979
Preference for control affects investment behavior. Participants of laboratory experiments invest different amount of …. Participants increase their investment when their preferred method of control is used.[...] …
Persistent link: https://www.econbiz.de/10009022161
In this paper we experimentally test skewness seeking at the individuallevel. Several prospects that can be ordered …
Persistent link: https://www.econbiz.de/10005866533
measured by the adjustments of personal parametersuntil accepting the investment decision suggested by theory.Additionally, a …
Persistent link: https://www.econbiz.de/10005866712
We experimentally investigate whether the satisficing approach isabsorbable, i.e., whether it still applies after participants become awareof it. In a setting where an investor decides between a riskless bondand either one or two risky assets, we familiarize participants with thesatisficing...
Persistent link: https://www.econbiz.de/10005866714
The paper explores the applicability of the satisficing approach. Inparticular, we investigate whether basic principles of aspiration formationand satisficing behavior are transferable between similar situations.Individuals are sequentially confronted with two risky investmenttasks, a simple and...
Persistent link: https://www.econbiz.de/10005866716
?Although investment does not converge as predicted, portfolios of informedagents reect the probabilities of states, and even uninformed …
Persistent link: https://www.econbiz.de/10005866439
This paper reports results of an experiment designed to analyze the link between riskydecisions made by couples and … risky decisions made separately by each spouse. We estimateboth the spouses and the couples’ degrees of risk aversion and we … assess how the risk preferencesof the two spouses aggregate when they make risky decisions. This enables us to investigatethe …
Persistent link: https://www.econbiz.de/10005866693
i.e. there is no noise trader risk. Instead, traders expect that new rational entrants with different information in the …
Persistent link: https://www.econbiz.de/10010884635