This paper examines whether biased income expectations due to overconfidence lead to higher levels of debt taking. We … exogenously manipulate overconfidence about income expectations by letting income depend on relative performance in hard and easy … quiz tasks. In the main experiment, we successfully generate biased income expectations and show that participants with …

This paper examines whether biased income expectations due to overconfidence lead to higher levels of debt-taking. We … generate biased income expectations and show that participants with higher income expectations initially borrow more … very similar and correlates with income expectations and overconfidence. …

This paper examines whether biased income expectations due to overconfidence lead to higher levels of debt-taking. We … generate biased income expectations and show that participants with higher income expectations initially borrow more … very similar and correlates with income expectations and overconfidence. …

This paper examines whether biased income expectations due to overconfidence lead to higher levels of debt-taking. In a … expectations by letting income depend on relative performance in hard and easy quiz tasks. We successfully generate biased income … expectations and show that participants with higher income expectations initially borrow more. Overconfident participants scale …