We experimentally test overconfidence in investment decisions by offering participants the possibility to substitute … their own for alternative investment choices. Overall, 149 subjects participated in two experiments, one with just one risky …

comparably low returns and high risk has become known as the private equity premium puzzle. This paper provides evidence … supporting the hypothesis that lower risk aversion of entrepreneurs, and not necessarily credit constraints, may explain this … portfolios and experimentally validated risk attitudes. The results show that both the ownership probability and the conditional …

equity ; investment ; risk aversion … comparably low returns and high risk has become known as the private equity premium puzzle. This paper provides evidence … supporting the hypothesis that lower risk aversion of entrepreneurs, and not necessarily credit constraints, may explain this …

language may influence risk perception and investment behavior, no study has explored the causal effects of linguistic … investment decisions is amplified by risk perception. Investor characteristics that significantly affect their risk perception … uncertainty on financial decision-makers. We address this research gap by presenting a controlled laboratory experiment exposing …

Purpose – The purpose of this paper is to derive the determinants of young adults' subjective and objective risk … adults' and older adults' risk attitude is provided.Design/methodology/approach – The paper relies on an experimental setting …-Survey.Findings – Young adults' objective risk aversion is not constant but increases with stake sizes. Furthermore, young adults' subjective …

This paper presents new evidence on the distribution of risk attitudes in the population, using a novel set of survey … take risks is negatively related to age and being female, and positively related to parental education and height. We test … the behavioral relevance of this survey measure by conducting a complementary field experiment, based on a representative …

This paper presents new evidence on the distribution of risk attitudes in the population, using a novel set of survey … take risks is negatively related to age and being female, and positively related to height and parental education. We test … the behavioral relevance of this survey measure by conducting a complementary field experiment, based on a representative …

We conduct an experiment to investigate whether concerns about an auditor's independence and reputation affect … individuals' investment decisions. We examine whether the disclosure of audit and non-audit fees affects participants' investment … decisions. We find that investment in clients of a less reputable auditor is reduced relative to that in other companies when …

outcomes. Our evidence is based on an experiment in which subjects repeatedly invest in two identical, uncorrelated, risky … each period. Yet, internals are more likely to make inconsistent risk choices. The effect size of locus of control is …