Incentive effects on risk attitude in small probability prospects

We report between-subject results on the effect of monetary stakes on risk attitudes. While we find the typical risk seeking for small probabilities, risk seeking is reduced under high stakes. This suggests that utility is not consistently concave.

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Year of publication:	2010
Authors:	Lefebvre, Mathieu ; Vieider, Ferdinand M. ; Villeval, Marie Claire
Published in:	Economics Letters. - Elsevier, ISSN 0165-1765. - Vol. 109.2010, 2, p. 115-120
Publisher:	Elsevier
Subject:	Risk attitude Incentives Prospect theory

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Type of publication:	Article
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10008866935