Jelschen, Hauke; Schmidt, Ulrich - In: Journal of Risk and Uncertainty 66 (2023) 3, pp. 215-232
In a seminal contribution, Thaler and Johnson ( 35 ) detected the existence of a house money effect which is defined as an increase in risk tolerance after previous gains resulting from a risky activity. Subsequent studies used the term house money effect also in case of windfall gains, i.e.,...