Dynamic decision structure and risk taking

Jürgen Eichberger, Werner Güth, Wieland Müller

This paper investigates the behaviour in repeated decision situations. The experimental study shows that subjects show low or no risk-aversion, but put very high value on the opportunity to sell the lottery in every stage of the decision problem. There is evidence that risk attitudes depend on whether they are measured by comparing the certainty equivalent and the expected value of a lottery or by preferences over mean-preserving spreads. -- Dynamic decisions ; risk taking behaviour ; decision-making experiments

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Year of publication:	1999
Authors:	Eichberger, Jürgen ; Güth, Werner ; Müller, Wieland
Institutions:	Sonderforschungsbereich Quantifikation und Simulation Ökonomischer Prozesse (contributor)
Publisher:	Berlin : Humboldt-Universität
Subject:	Theorie \| Theory \| Entscheidung \| Decision \| Risikopräferenz \| Risk attitude \| Experiment \| Intertemporale Allokation \| Intertemporal allocation