This paper reports the results of an experiment that brings together psychological measures of competence and overconfidence with laboratory economic measures of individual valuations of uncertainty. We examine the valuations of risky and ambiguous lotteries in a financial decision context. The...

Carbon taxes are a prominent policy instrument for decreasing the consumption of CO2-intensive goods in order to reduce the negative external effects involved in the production or consumption of such goods. A tax leads to higher consumer prices, which typically lowers consumption. However, in...