The Holt-Laury measure for risk aversion has been used extensively in economic studies to measure individuals' risk aversion. The idea behind this measure is that individuals have stable risk preferences when making decisions under risk. We show that having repeated experiences with the...

In first-price sealed-bid auctions, a power probability weighting function is observationally equivalent to a model of constant absolute risk aversion. By comparing auctions with different ceilings on a computerized opponent’s bid space, we can separate subjective probability weighting and...