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a minority of voters are biased, but harmful when a majority is biased. In theory, information on the success of policy … on success is ineffective and does not de-bias voters. …
Persistent link: https://www.econbiz.de/10010195409
Persistent link: https://www.econbiz.de/10010485912
We explore the impact of the self-serving bias on the supply and demand for redistribution. We present results from an … attribute their failure to external factors and opt for more redistribution. We demonstrate that the self-serving bias … experiment in which participants decide on redistribution after performing a real effort task. Dependent on individual …
Persistent link: https://www.econbiz.de/10011434294
People with higher-incomes tend to support less redistribution than lower-income people. This has been attributed not … each of these mechanisms and compare their mediating roles in the relationship between status and redistribution. In our … primary mechanism underlying self-serving differences in support for redistribution. …
Persistent link: https://www.econbiz.de/10014477403
Persistent link: https://www.econbiz.de/10010345045
We provide a preference-based rationale for endogenous overconfidence. Horizon-dependent risk aversion, combined with a possibility to forget, can generate overconfidence and excessive risk taking in equilibrium. An "anxiety prone" agent, who is more risk-averse to imminent than to distant...
Persistent link: https://www.econbiz.de/10010482950
of traditional finance theory. Even after controlling for market segmentation and “investability” of foreign markets … market uncertainty. My empirical hypotheses are based on a psychological theory that relates uncertainty in the markets to … increases in investors' risk aversion which in turn increases investors' proneness to familiarity bias. I hypothesize that …
Persistent link: https://www.econbiz.de/10013083023
perspective. Still no one could explain entirely the existent bias between expected future spot rates and forward rates, the so … called puzzle in the expectation hypothesis.In this work we will address this issue through arbitrage theory, in particular … measures, we will find adjustments that will able us to explain this bias in the expectation hypothesis …
Persistent link: https://www.econbiz.de/10013056297
Persistent link: https://www.econbiz.de/10012298379
Evidence from hypothetical scenarios strongly suggests the existence of a sunk cost bias, the tendency to ‘throw good … psychological channels underlying such a bias is scarce. We present a laboratory experiment designed to investigate the sunk cost … bias and to test some prominent psychological mechanisms. Inspired by the hypothetical scenarios, we use a two …
Persistent link: https://www.econbiz.de/10012299784