. This is compared with a risk free treatment. We find that subjects do not change their behavior in the face of risky … outcomes. Additionally, we measure risk attitude and the emotions of subjects. While we find a strong influence of emotions …, individual risk aversion has no effect on the decision to punish or reward. This is good news for lab experiments who abstract …

variance of exam grades is higher and that starting wages are lower if the skew is higher: employers shift quality risk to new …

schemes. We argue that excessive risk-taking in the financial sector originates from the shareholder moral hazard created by … by curbing risk-taking incentives, the higher the leverage the bank is permitted to take on. Consequently, the risk …-shifting incentives caused by government guarantees and the risk-mitigating incentives created by the compensation structure offset each …