This paper sets out an ordinal theory of choice under risk that is capable of replicating and extending important … decision problems where attitudes towards risk and correlation play an essential role, we show that characterizing attitudes … towards risk and correlation in terms of an ordinal utility function of decision parameters enables the extension of all …

Willingness to take risk depends on whether the risk affects others as well as oneself and on how the risk affects oneś … apparent whether the unfair safe social outcome benefits them or the other. Subjects are also more risk averse when facing … tendency to avoid social lotteries that impose a risk on the other. An attempt to reconcile those findings with standard models …

experiments. Contrary to the traditional view of expected utility theory, the choices can be explained in large part by previous … outcomes experienced during the game. Risk aversion decreases after earlier expectations have been shattered by unfavorable … outcomes or surpassed by favorable outcomes. Our results point to reference-dependent choice theories such as prospect theory …

. We will show that even a risk averter might optimally choose a riskier coin when learning is allowed. We will express …

second source of noise is present because of payoff risk, which reduces the correlation between expected and realized payoffs …. We manipulate payoff risk using a 2x2 design: payoffs from contest investments are either risky (as in standard contests … safe (as in standard contests) or risky. We find that Nash equilibrium rates go up to 100% when payoff risk is not present …

for measuring the depth of thinking. In this paper, we find that choices in the 11-20 game are confounded with risk … aversion; hence, the depth of thinking measured is confounded with risk aversion. We also theoretically show that risk aversion … are not correlated with risk aversion …

technologies and skill distributions. We construct a link between our contest model and expected utility theory and exploit this … link to revisit important comparative statics results of contest theory and show how these can be overturned. Finally, we …

technologies and skill distributions. We construct a link between our contest model and expected utility theory and exploit this … link to revisit important comparative statics results of contest theory and show how these can be overturned. Finally, we …