Ambiguity attitudes and social interactions: An experimental investigation

This paper reports the results of experiments testing prevalence of nonneutral ambiguity attitudes and how these attitudes change as a result of interpersonal interactions. To address the first question we conducted experiments involving individual choice between betting on ambiguous and unambiguous...

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Published inJournal of risk and uncertainty Vol. 46; no. 1; pp. 1 - 25
Main Authors Charness, Gary, Karni, Edi, Levin, Dan
Format Journal Article
LanguageEnglish
Published Boston Spring Science + Business Media 01.02.2013
Springer US
Springer Science + Business Media
Springer Nature B.V
Subjects
Online AccessGet full text
ISSN0895-5646
1573-0476
DOI10.1007/s11166-012-9157-1

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Abstract This paper reports the results of experiments testing prevalence of nonneutral ambiguity attitudes and how these attitudes change as a result of interpersonal interactions. To address the first question we conducted experiments involving individual choice between betting on ambiguous and unambiguous events of the subject's choice. We found that a large majority of subjects display ambiguity neutral attitudes, many others display ambiguity incoherent attitudes, and few subjects display either ambiguity-averse attitudes or ambiguity-seeking attitudes. To address the second question we designed a new experiment with a built-in incentive to persuade. We found that interpersonal interactions without incentives to persuade have no effect on behavior. However, when incentives were introduced, the ambiguity neutral subjects were better able to persuade ambiguity seeking and ambiguity incoherent subjects to adopt ambiguity neutral choice behavior and, to a lesser extent, also ambiguity averse subjects.
AbstractList This paper reports the results of experiments testing prevalence of nonneutral ambiguity attitudes and how these attitudes change as a result of interpersonal interactions. To address the first question we conducted experiments involving individual choice between betting on ambiguous and unambiguous events of the subject's choice. We found that a large majority of subjects display ambiguity neutral attitudes, many others display ambiguity incoherent attitudes, and few subjects display either ambiguity-averse attitudes or ambiguity-seeking attitudes. To address the second question we designed a new experiment with a built-in incentive to persuade. We found that interpersonal interactions without incentives to persuade have no effect on behavior. However, when incentives were introduced, the ambiguity neutral subjects were better able to persuade ambiguity seeking and ambiguity incoherent subjects to adopt ambiguity neutral choice behavior and, to a lesser extent, also ambiguity averse subjects.
This paper reports the results of experiments testing prevalence of non-neutral ambiguity attitudes and how these attitudes change as a result of interpersonal interactions. To address the first question we conducted experiments involving individual choice between betting on ambiguous and unambiguous events of the subject’s choice. We found that a large majority of subjects display ambiguity neutral attitudes, many others display ambiguity incoherent attitudes, and few subjects display either ambiguity-averse attitudes or ambiguity-seeking attitudes. To address the second question we designed a new experiment with a built-in incentive to persuade. We found that interpersonal interactions without incentives to persuade have no effect on behavior. However, when incentives were introduced, the ambiguity neutral subjects were better able to persuade ambiguity seeking and ambiguity incoherent subjects to adopt ambiguity neutral choice behavior and, to a lesser extent, also ambiguity averse subjects.
This paper reports the results of experiments testing prevalence of non-neutral ambiguity attitudes and how these attitudes change as a result of interpersonal interactions. To address the first question we conducted experiments involving individual choice between betting on ambiguous and unambiguous events of the subject's choice. We found that a large majority of subjects display ambiguity neutral attitudes, many others display ambiguity incoherent attitudes, and few subjects display either ambiguity-averse attitudes or ambiguity-seeking attitudes. To address the second question we designed a new experiment with a built-in incentive to persuade. We found that interpersonal interactions without incentives to persuade have no effect on behavior. However, when incentives were introduced, the ambiguity neutral subjects were better able to persuade ambiguity seeking and ambiguity incoherent subjects to adopt ambiguity neutral choice behavior and, to a lesser extent, also ambiguity averse subjects. Reprinted by permission of Springer
This paper reports the results of experiments testing prevalence of non-neutral ambiguity attitudes and how these attitudes change as a result of interpersonal interactions. To address the first question we conducted experiments involving individual choice between betting on ambiguous and unambiguous events of the subject's choice. We found that a large majority of subjects display ambiguity neutral attitudes, many others display ambiguity incoherent attitudes, and few subjects display either ambiguity-averse attitudes or ambiguity-seeking attitudes. To address the second question we designed a new experiment with a built-in incentive to persuade. We found that interpersonal interactions without incentives to persuade have no effect on behavior. However, when incentives were introduced, the ambiguity neutral subjects were better able to persuade ambiguity seeking and ambiguity incoherent subjects to adopt ambiguity neutral choice behavior and, to a lesser extent, also ambiguity averse subjects. [PUBLICATION ABSTRACT]
Author Levin, Dan
Karni, Edi
Charness, Gary
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  givenname: Dan
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BackLink http://www.econis.eu/PPNSET?PPN=737969032$$DView this record in ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften
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Keywords Ambiguity aversion
Ellsberg paradox
C91
Ambiguity attitudes
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Snippet This paper reports the results of experiments testing prevalence of nonneutral ambiguity attitudes and how these attitudes change as a result of interpersonal...
This paper reports the results of experiments testing prevalence of non-neutral ambiguity attitudes and how these attitudes change as a result of interpersonal...
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SubjectTerms Ambiguity
Attitudes
Betting
Decision theory
Economic models
Economic statistics
Economic theory
Economic Theory/Quantitative Economics/Mathematical Methods
Economic uncertainty
Economics
Economics and Finance
Entscheidung unter Risiko
Environmental Economics
Expected utility
Experiment design
Experiments
Gambling
Incentives
Interpersonal attraction
Interpersonal relations
Microeconomics
Neutralism
Operations Research/Decision Theory
Paradoxes
Persuasion
Preferences
Price premiums
Probability
Public choice
Risk aversion
Risk aversion preference
Social behavior
Social interaction
Soziale Beziehungen
Studies
Test
Uncertainty
Willingness to pay
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Title Ambiguity attitudes and social interactions: An experimental investigation
URI https://www.jstor.org/stable/41761436
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