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With formal theoretical conditions as premise, this study develops a formal empirical structure which facilitates, simultaneously inferences in respect of each of rationality and efficiency of pricing of idiosyncratic risk. Using exactly the same data, the new empirical structure revolves around...
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This article reviews recent developments in revealed preference theory. It discusses the testable implications of theories of choice that are germane to specific economic environments. The focus is on expected utility in risky environments, subjected expected utility and maxmin expected utility...
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Researchers frequently studied the casual relationships of other-regarding preferences by applying experimental methods in bilateral settings (e.g., dictator game and ultimatum game). We use a framed experiment on taxes to study preferences for redistribution in a multi-person setting. We find...
Persistent link: https://www.econbiz.de/10009665521
focuses on situations where some resource (for instance, a position, decision power, a bonus) has to be allocated between two … parties: the decision maker can either opt for sharing the resource or for using a random device that allocates the entire … prize to one of the two parties. By varying the relative situation of the decision maker with respect to the other party, we …
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circumstance affects the decision making process and influences the ultimate individuals ́choices. In this paper, we focus on the … the decision and who is affected by it. Our results shows that social distance (i.e., whether the person affected by oneś … decision is an unknown stranger or a friend) is an important determinant when people decide on the behalf of others …
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