To understand the factors that influence people in their retirement decisions is of great importance. Due to an ongoing shift in western societies from public to private pension systems it becomes more and more the task of individual retirees to insure against longevity risk. While economic...

Already in the 1930s psychologists mentioned the tendency of people to see the self as the center of social judgment. This leads to egocentrically biased judgments when assessing others' behavior. Since the first demonstration of this social projection bias in a study by Ross, Greene, and House...

We experimentally investigate the Outcome Bias in financial decision making. In three treatments, we vary the cognitive challenge investors have to overcome to separate skill from luck. Investors show clear tendencies towards the Outcome Bias in all treatments. The Outcome Bias is stronger, by a...