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We propose a model of instrumental belief choice under loss aversion. When new information arrives, an agent is prompted to abandon her prior. However, potential posteriors may induce her to take actions that generate a lower utility in some states than actions induced by her prior. These losses...
Persistent link: https://www.econbiz.de/10011557745
about how such beliefs about one's own abilities causally influence choices is, however, sparse. In this paper, we use a …
Persistent link: https://www.econbiz.de/10012238957
Confidence is often seen as the key to success. Empirical evidence about how such beliefs about one's abilities …
Persistent link: https://www.econbiz.de/10012064447
Confidence is often seen as the key to success. Empirical evidence about how such beliefs about one's abilities …
Persistent link: https://www.econbiz.de/10011964220
Confidence is often seen as the key to success. Empirical evidence about whether such beliefs causally map into actions … shift beliefs, we find that beliefs can be shifted, which in turn shifts decisions. In our setting, the beliefs of low … and women react similarly to the treatment. However, men hold higher baseline beliefs, implying that women make better …
Persistent link: https://www.econbiz.de/10011778918
Interactions between players with private information and opposed interests are often prone to bad advice and inefficient outcomes, e.g. markets for financial or health care services. In a deception game we investigate experimentally which factors could improve advice quality. Besides advisor...
Persistent link: https://www.econbiz.de/10011530053
An advisor is supposed to recommend a financial product in the best interest of her client. However, the best product for the client may not always be the product yielding the highest commission to the advisor. Do advisors nevertheless provide truthful advice? If not, will a voluntary or...
Persistent link: https://www.econbiz.de/10011530061
The market for retail financial products (e.g. investment funds or insurance) is marred by information asymmetries. Clients are not well informed about the quality of these products. They have to rely on the recommendations of advisors. Incentives of advisors and clients may not be aligned, when...
Persistent link: https://www.econbiz.de/10011530065
Interactions between players with private information and opposed interests are often prone to bad advice and inefficient outcomes, e.g. markets for financial or health care services. In a deception game we investigate experimentally which factors could improve advice quality. Besides advisor...
Persistent link: https://www.econbiz.de/10011697162
Interactions between players with private information and opposed interests are often prone to bad advice and inefficient outcomes, e.g. markets for financial or health care services. In a deception game we investigate experimentally which factors could improve advice quality. Besides advisor...
Persistent link: https://www.econbiz.de/10011881706