Myopic Loss Aversion under Ambiguity and Gender Effects
AbstractExperimental evidence suggests that the frequency with which individuals get feedback information on their investments has an effect on risk-taking behavior. In particular, when they are given information sufficiently often, they take fewer risks compared with a situation in which they are informed less frequently. In this paper we find that this result still holds when subjects do not know the probabilities of the lotteries they are betting upon. We also detect significant gender effects, in that the frequency with which information is disclosed mostly affects men’s betting behavior, rather than women’s, and that men are much more risk-seeking after experiencing a loss.
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Bibliographic InfoPaper provided by Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie) in its series Working Papers. Serie AD with number 2013-05.
Length: 29 pages
Date of creation: Jul 2013
Date of revision:
Publication status: Published by Ivie
Myopic loss aversion; evaluation periods; ambiguity; gender effects;
Find related papers by JEL classification:
- C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
- D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
- D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-07-20 (All new papers)
- NEP-CBE-2013-07-20 (Cognitive & Behavioural Economics)
- NEP-DEM-2013-07-20 (Demographic Economics)
- NEP-EXP-2013-07-20 (Experimental Economics)
- NEP-UPT-2013-07-20 (Utility Models & Prospect Theory)
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