Showing 1 - 10 of 44
In this paper we experimentally test skewness seeking at the individual level. Several prospects that can be ordered with respect to the third-degree stochastic dominance (3SD) criterion are ranked by the participants of the experiment. We find that the skewness of a distribution has a...
Persistent link: https://www.econbiz.de/10012728702
We examine the influence of guilt and trust on the performance of credence goods markets. An expert can make a promise to a consumer first, whereupon the consumer can express her trust by paying an interaction price before the expert's provision and charging decisions. We argue that the expert's...
Persistent link: https://www.econbiz.de/10013146471
Persistent link: https://www.econbiz.de/10015204523
Economics and management science share the tradition of ordering risk aversion by ï¬tting the best expected utility (EU) model with a certain utility function to individual data, and then using the utility curvature for each individual as the sole index of risk attitude. (Cumulative) Prospect...
Persistent link: https://www.econbiz.de/10003905733
Persistent link: https://www.econbiz.de/10008655973
Persistent link: https://www.econbiz.de/10008655974
Persistent link: https://www.econbiz.de/10008655975
Persistent link: https://www.econbiz.de/10008655976
Persistent link: https://www.econbiz.de/10008657629
We present an experiment designed to test the Modigliani-Miller theorem. Applying a general equilibrium approach and not allowing for arbitrage among firms with different capital structures, we find that, in accordance with the theorem, participants well recognize changes in the systematic risk...
Persistent link: https://www.econbiz.de/10008991289