Unintended hedging in ambiguity experiments

We describe an ambiguity hedging problem in Ellsberg experiments, where combinations of individually ambiguous bets eliminate aggregate ambiguity, and which may yield incorrect classifications of ambiguity averse subjects. We propose a new classification consistent with this hedging possibility.

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Year of publication:	2014
Authors:	Oechssler, Jörg ; Roomets, Alex
Published in:	Economics Letters. - Elsevier, ISSN 0165-1765. - Vol. 122.2014, 2, p. 243-246
Publisher:	Elsevier
Subject:	Ambiguity aversion \| Uncertainty \| Experiment \| Ellsberg

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Type of publication:	Article
Classification:	C91 - Laboratory, Individual Behavior ; D81 - Criteria for Decision-Making under Risk and Uncertainty
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10011041603