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Sex hormones and choice under risk

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  • Burkhard Schipper

    (Department of Economics, University of California Davis)

Abstract

We study the correlation of choice under risk in Holt-Laury lotteries for gains and losses with gender, the use of hormonal contraceptives, menstrual cycle information, salivary testosterone, estradiol, progesterone, and cortisol as well as the digit ratio (2D:4D) in more than 200 subjects. In males, salivary testosterone is negatively correlated with risk aversion for gains only. In females, salivary cortisol is positively correlated with risk aversion for gains only. No other significant correlations between risk preferences and salivary hormones are observed. No significant correlations between risk preferences and the menstrual cycle are observed in naturally cycling females. No significant correlations between risk preferences and the digit ratio are observed in either gender and/or race. Females who use hormonal contraceptives are more likely to make ``consistent'' choices although this may be due to a selection effect. Risk aversion is positively correlated with being female for losses only.

Suggested Citation

  • Burkhard Schipper, 2014. "Sex hormones and choice under risk," Working Papers 147, University of California, Davis, Department of Economics.
  • Handle: RePEc:cda:wpaper:14-7
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Antonio Filippin & Paolo Crosetto, 2016. "A Reconsideration of Gender Differences in Risk Attitudes," Management Science, INFORMS, vol. 62(11), pages 3138-3160, November.
    2. Athanasios Geromichalos & Kuk Mo Jung, 2014. "An Over-the-Counter Approach to the FOREX Market," Working Papers 144, University of California, Davis, Department of Economics.
    3. Pablo Brañas-Garza & Matteo M. Galizzi & Jeroen Nieboer, 2014. "Digit ratio and risk taking: Evidence from a large, multi-ethnic sample," Working Papers 14-23, Chapman University, Economic Science Institute.
    4. Matthew Pearson & Burkhard Schipper, 2012. "The visible hand: finger ratio (2D:4D) and competitive bidding," Experimental Economics, Springer;Economic Science Association, vol. 15(3), pages 510-529, September.
    5. Pearson, Matthew & Schipper, Burkhard C., 2013. "Menstrual cycle and competitive bidding," Games and Economic Behavior, Elsevier, vol. 78(C), pages 1-20.
    6. Thomas Buser & Anna Dreber & Johanna Mollerstrom, 2015. "Stress Reactions cannot explain the Gender Gap in Willingness to compete," Tinbergen Institute Discussion Papers 15-059/I, Tinbergen Institute.
    7. Anna Dreber & Emma Essen & Eva Ranehill, 2014. "Gender and competition in adolescence: task matters," Experimental Economics, Springer;Economic Science Association, vol. 17(1), pages 154-172, March.
    8. Jana Cahlíková & Lubomír Cingl, 2017. "Risk preferences under acute stress," Experimental Economics, Springer;Economic Science Association, vol. 20(1), pages 209-236, March.
    9. repec:kap:expeco:v:20:y:2017:i:2:d:10.1007_s10683-016-9496-x is not listed on IDEAS
    10. Zhixin Xie & Lionel Page & Ben Hardy, 2016. "Investigating gender differences under time pressure in financial risk taking," QuBE Working Papers 045, QUT Business School.
    11. Andreas C. Drichoutis & Rodolfo M. Nayga, Jr., 2015. "Do Risk and Time Preferences Have Biological Roots?," Southern Economic Journal, Southern Economic Association, vol. 82(1), pages 235-256, July.
    12. Burkhard C. Schipper, 2015. "Sex Hormones and Competitive Bidding," Management Science, INFORMS, vol. 61(2), pages 249-266, February.
    13. Cobb-Clark, Deborah A., 2016. "Biology and Gender in the Labor Market," IZA Discussion Papers 10386, Institute for the Study of Labor (IZA).
    14. Galizzi, Matteo M. & Nieboer, Jeroen, 2015. "Digit ratio (2D:4D) and altruism: evidence from a large, multi-ethnic sample," LSE Research Online Documents on Economics 60982, London School of Economics and Political Science, LSE Library.
    15. Neyse, Levent & Friedl, Andreas & Schmidt, Ulrich, 2014. "Payment Scheme Changes and Effort Provision: The Effect of Digit Ratio," MPRA Paper 59549, University Library of Munich, Germany.

    More about this item

    Keywords

    Hormones; Menstrual cycle; Contraception; Digit ratio; 2D:4D; Gender; Endocrinological economics; Holt-Laury; Risk aversion; Risk seeking; Reflection effect; Prospect theory;

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • D44 - Microeconomics - - Market Structure, Pricing, and Design - - - Auctions
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • D87 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Neuroeconomics

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