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Overall, 72 subjects invest their endowment in four risky assets. Each com-bination of assets yields the same expected return and variance of returns. Illusion of expertise prevails when one prefers nevertheless the self-selected portfolio. After being randomly assigned to groups of four...
Persistent link: https://www.econbiz.de/10011408429
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 …
Persistent link: https://www.econbiz.de/10013307955
experiment with 66 students to measure the house-money effect on their risk preferences. They received an amount of money with … group got it the day of the experiment. We find that, when facing possible losses, people in the treatment group showed a … lower tolerance to risk than people in the control group. If the players are assumed to have a CRRA utility function and to …
Persistent link: https://www.econbiz.de/10013147749
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 …
Persistent link: https://www.econbiz.de/10010271074
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 …
Persistent link: https://www.econbiz.de/10003782603
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 …
Persistent link: https://www.econbiz.de/10003085747
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 …
Persistent link: https://www.econbiz.de/10013318309
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 …
Persistent link: https://www.econbiz.de/10010267371
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 …
Persistent link: https://www.econbiz.de/10010260868
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 …
Persistent link: https://www.econbiz.de/10013158383