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Among the most important and robust violations of rationality are the attraction and the compromise effects. The compromise effect refers to the tendency of individuals to choose an intermediate option in a choice set, while the attraction effect refers to the tendency to choose an option that...
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to the effectiveness of third party punishment on cooperation. The results show that the threat of third party punishment … more than doubles cooperation rates.In the last study we provide evidence on the discriminatory behavior of more than 1 …,100 children. We find that the gap between cooperation among in-group members and cooperation towards children speaking another …
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"This enlightening book comprehensively maps the current state of economic psychology and behavioural economics. Exploring key concepts, topics and models in the field, it is also a launching pad for future research, providing useful insights on how to make good personal and professional...
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This paper analyzes 12,596 wagering decisions of 6,064 contestants in the US game show Jeopardy!, focusing on the anchoring phenomenon in financial decision-making. We find that contestants anchor heavily on the initial dollar value of a clue in their wagering decision, even though there exists...
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