paper we address two issues related to the effects of MLA on risky investment decisions. First, we assess the relative … impact of feedback frequency and investment flexibility (via the investment horizon) on risky investments. Second, given that … we observe higher investments with a longer investment horizon, we examine conditions under which investors might …

A main prediction of agency theory is the well known risk-incentive trade-off. Incentive contracts should be found in … environments with little uncertainty and for agents with low degrees of risk aversion. There is an ongoing debate in the literature … use of a unique representative data set, we find clear evidence that risk aversion has a highly significant and …

This paper studies the impact of incentives on worker self-selection in a controlled laboratory experiment. Subjects …

candidate is expectations: what people expect could affect how they feel about what actually occurs. In a real-effort experiment …

We analyze a two-stage game between two heterogeneous players. At stage one, common risk is chosen by one of the … players. At stage two, both players observe the given level of risk and simultaneously invest in a winner-take-all competition … risk taking at stage one - an effort effect, a likelihood effect and a reversed likelihood effect. For the likelihood …

Crime has to be punished, but does punishment reduce crime? We conduct a neutrally framed laboratory experiment to test … of punishment. In our experiment, subjects can steal from another participant's payoff. Deterrent incentives vary across …

€“bid auction with an additional buyer is conducted. The theoretical model predicts that with risk neutral agents all sales take … place in the auction rendering the negotiation prior to the auction obsolete. An experimental test of the model provides … large amount of sales occurs already during the negotiation stage. We show that risk preferences can theoretically account …

her information. Having presented our formal analysis, we test these results using data from laboratory experiments. The …