Showing 1 - 10 of 21,802
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 … MLA. Longer investment horizons and less frequent feedback lead to higher investments. However, when given the choice …
Persistent link: https://www.econbiz.de/10005432667
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 … MLA. Longer investment horizons and less frequent feedback lead to higher investments. However, when given the choice …
Persistent link: https://www.econbiz.de/10005090568
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/10005765187
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/10005739678
choice problem concerns the investment of an amount of money in a safe option and a risky option when there is a 'global risk …We investigate a novel dynamic choice problem in an experiment where emotions are measured through self-reports. The … risk can reduce the amount invested in the risky option. This result cannot be explained by classical Expected Utility or …
Persistent link: https://www.econbiz.de/10005791308
When investment is repeated, previous outcomes (winning/losing) as well as the current budget level (gain/loss domain … experiments initially conducted to investigate myopic-loss-aversion. We observe that investment is related to the number of … analysis is extended to settings with restricted flexibility concerning investment. …
Persistent link: https://www.econbiz.de/10005039981
' performance in a real effort experiment. We conducted treatments in which subjects' effort either increased only one's own payoff …
Persistent link: https://www.econbiz.de/10010796199
We identify the causal effect of cognitive abilities on economic behavior in an experimental setting. Using a forecasting task with varying cognitive load, we identify the causal effect of working memory on subjects' forecasting performance, while also accounting for the effect of other...
Persistent link: https://www.econbiz.de/10010842911
We study reputational herding in financial markets in a laboratory experiment. In the spirit of Dasgupta and Prat (2008 … employers. Employers can observe investment behavior, but not investors’ ability types. Thereby, reputational incentives may …
Persistent link: https://www.econbiz.de/10011122679
We study risk-taking behavior in tournaments where the optimal strategy is to take no risk. By keeping the optimal … competitiveness and excessive risk-taking. In the most competitive tournament, less than 10% of the subjects played the optimal … strategy in the first rounds. The majority playing dominated strategies increased their risk-taking during game of play. When …
Persistent link: https://www.econbiz.de/10011123564