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This paper tests whether strategic uncertainty employs circuits in the brain that encode risk and utility, or circuits …
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The behavioural game theory proposes a frame for modelling human behaviours in strategic interactions in a general, predictive and realistic way. Using the huge amount of experimental data accumulated during the last 25 years, and the recent results in neuroeconomics, this approach renews the...
Persistent link: https://www.econbiz.de/10008680220
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against risk. We work within the framework originally established by Berg, Dickhaut and McCabe (1995) in which trust is …’s risk efficacy, or ratio of assets to risk. …
Persistent link: https://www.econbiz.de/10005244977
against risk. We work within the framework originally established by Berg, Dickhaut, and McCabe (1995) in which trust is … strengthens the first player’s risk efficacy, or ratio of assets to risk. …
Persistent link: https://www.econbiz.de/10010577287
from the fundamental values in the market with five inexperienced subjects than in the final round of the experiment in …
Persistent link: https://www.econbiz.de/10010906767
To what extent is the observed mis-pricing in experimental asset markets caused by strategic uncertainty (SU) and by individual bounded rationality (IBR)? We address this question by comparing subjects initial price forecasts in two market environments - one with six human traders, and the other...
Persistent link: https://www.econbiz.de/10010933940
We examine the role of higher order beliefs in asset markets where coordination between a buyer and seller can lead to gains to trade. The scenarios are modeled such that trader’s strategies do not only depend upon their beliefs of underlying economic phenomena, but also upon the others’...
Persistent link: https://www.econbiz.de/10010817388