Publications - Risk Aversion over Other Agents' Monetary Consequences Back

Title Risk Aversion over Other Agents' Monetary Consequences
Authors Chakravarty Sujoy
Publication Date 01-Apr-2004
Year 2004
Abstract Related to the very important concepts of myopic loss aversion and prospect theory, this study will analyse whether agents behave more optimally when they manage a risky asset that yields a probabilistic outcome for another individual than when the risky asset yields a probabilistic outcome for them. Laboratory testing with lotteries on actual subjects will give empirical insights for more realistic model building in finance and investment theory.