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This paper explores the use of the anchoring and adjustment heuristic by decision makers in a financial market; in particular, the degree to which horserace bettors anchor their probability judgments on the advantage afforded by a horse's barrier-position. The results suggest that under certain...
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pt. 1. Motivation for betting and risk taking -- pt. 2. The impact of complexity on decision-making behaviour -- pt. 3. Gender differences in decision-making behaviour -- pt. 4. The use of information by decision-makers and deviations from rational economic behaviour.
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