In this paper we experimentally test skewness seeking at the individuallevel. Several prospects that can be ordered …

corresponding common value auction.Whereas symmetric risk neutral Nash equilibria are rather similar for both games,behavior differs …

function is studied experimentally.The experiment allow us to study the main parametersof the model, suggesting that we should …

undiversifiable labor income risk. Optimal portfolios are internationally diversified while positive correlation between domestic … with a small amount of buffer stock saving, while exchange rate risk makes foreign investments less appealing to risk …

labor income risk and stock-market participation costs. In contrast to the initial motivation, we find that the model is not …

simultaneously matching stock market participation and individual asset holdings. The high risk premium is driven by incomplete risk … negligible impact on the risk premium, contrary to the results of models where it is imposed exogenously. …

We show that a life-cycle model with realistically calibrated uninsurable labor income risk and moderate risk aversion … risk aversion. Households with low risk aversion smooth earnings shocks with a small buffer stock of assets and … consequently most of them (optimally) never invest in equities. Therefore, the marginal stockholders are (endogenously) more risk …

experiment provides agood environment to assess the usefulness of this method to estimate transactioncosts. …