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increases investment levels. -- myopic loss aversion ; risk ; investment ; experiment …We examine in an experiment the causes, consequences and possible cures of myopic loss aversion (MLA) for investment … behaviour under risk. We find that both, investment horizons and feedback frequency contribute almost equally to the effects of …
Persistent link: https://www.econbiz.de/10009731795
I exploit a natural experiment to show that household investment decisions depend on the manner in which information is …
Persistent link: https://www.econbiz.de/10011709245
risk aversion, ambiguity attitude and personality traits are related to an individual’s information acquisition prior to a … find that risk and ambiguity aversion affect the information acquisition but are less influential for the decisions between … reduzieren. Die Studie untersucht, wie Risikoaversion, die Einstellung zu Ambiguität und verschiedene Persönlichkeitsmerkmale …
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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
decision. We find that investment decreases as a result of transitions from the first to the third level and we even observe … lower investments in case of positive changes in income. Investment decreases most if negative valuation adjustments are …-based decreases in net income. For larger positive and negative adjustments the impact of valuation levels on investment turns out to …
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paper we address two issues related to the effects of MLA on risky investment decisions. First, we assess the relative … impact of feedback frequency and investment flexibility (via the investment horizon) on risky investments. Second, given that … we observe higher investments with a longer investment horizon, we examine conditions under which investors might …
Persistent link: https://www.econbiz.de/10003056058