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How valuable are cognitive and social abilities for entrepreneurs' incomes as compared to employees? We answer three questions: (1) To what extent does a composite measure of ability affect an entrepreneur's earnings relative to employees? (2) Do different cognitive abilities (e.g. math ability,...
Persistent link: https://www.econbiz.de/10003796310
During the last three decades the ascent of behavioral economics clearly helped to bring down artificial disciplinary boundaries between psychology and economics. Noting that behavioral economics seems still under the spell of the rational choice tradition and, indirectly, of behaviorism we...
Persistent link: https://www.econbiz.de/10003809939
Overweighting private information is often used to explain various detrimental decisions. In behavioral economics and finance, it is usually modeled as a direct consequence of misperceiving signal reliability. This bias is typically dubbed overconfidence and linked to the judgment literature in...
Persistent link: https://www.econbiz.de/10008669956
explained by avoiding cognitive dissonance as in Konow (2000). Our experiment's choice data is in line with this approach. In …
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instructions' format affects the participants' understanding of the experiment, their speed of play and their experimental behavior …. We show that longer instructions do not significantly improve the subjects' understanding of the experiment; on …-screen instructions shorten average decision times with respect to on-paper instructions, and requiring forced inputs reduces waiting …
Persistent link: https://www.econbiz.de/10009349750
model based on cognitive dissonance that focuses on the importance of self-image. An experiment (a dictator game variant …
Persistent link: https://www.econbiz.de/10009129721
We conduct a modified dictator game in order to analyze the role self-image concerns play in other-regarding behavior. While we generally follow Konow (2000), a cognitive dissonance-based model of other-regarding behavior in dictator games, we relax one of its assumptions as we allow for...
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