Beliefs are a central determinant of behavior. Recent models assume that beliefs about or the anticipation of future … consumption have direct utility-consequences. This gives rise to informational preferences, i.e., preferences over the timing and …, however, is not uniform but depends on context. When the environment allows subjects to not focus attention on (negative …

expectations. We examine the predictions of Kőszegi and Rabin (2006) in the context of market experiments with probabilistic forced … exchange. The experiment tightly tests the predictions of Kőszegi and Rabin (2006), as when the probability of forced exchange … these theoretical predictions. In a series of experiments with a total of 930 subjects, sellers' valuations exceed buyers …

We report an experiment that infers true overconfidence in relative ability through actions, as opposed to reported … beliefs. Subjects choose how to invest earnings from a skill task when the returns depend solely upon risk, or both risk and … relative placement, enabling joint estimation of individual risk preferences and implied subjective beliefs of placing in the …

learning. -- beliefs ; correlation neglect ; experiments ; markets ; overshooting … and treat correlated information as independent. In consequence, people's beliefs are excessively sensitive to well …-connected information sources, implying a pattern of "overshooting" beliefs. Additionally, in an experimental asset market, correlation …

We present an experiment to investigate the source of disappointment aversion in a sequential real-effort competition … Prowse experiment, where the latter treatment removes the scope for social comparisons. If disappointment aversion simply …

This paper examines the effects of alternative assumptions regarding the curvature of utility upon estimated discount … the Holt and Laury method for risk. The results demonstrate that utility elicited directly from choice over time is … significantly concave, but far closer to linear than utility elicited under risk. As a result, the effect of adjusting discount …

-control. While these models have received a lot of attention, empirical studies tailored to testing their core prediction are lacking … within a particular range. We test the hypotheses in a lab experiment with a large number of subjects (N = 308), using a well …

preference experiment is usually to estimate parameters of a discount function, assumptions concerning the nature of utility may …This methodological survey reviews recent developments in the design of experiments to elicit individuals' time … preferences, with a focus on the measurement or control for potentially non-linear utility. While the objective of a time …