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 in | Journal of risk and uncertainty Vol. 46; no. 1; pp. 1 - 25 |
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Main Authors | , , |
Format | Journal Article |
Language | English |
Published |
Boston
Spring Science + Business Media
01.02.2013
Springer US Springer Science + Business Media Springer Nature B.V |
Subjects | |
Online Access | Get full text |
ISSN | 0895-5646 1573-0476 |
DOI | 10.1007/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. |
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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 |
Author_xml | – sequence: 1 givenname: Gary surname: Charness fullname: Charness, Gary – sequence: 2 givenname: Edi surname: Karni fullname: Karni, Edi – sequence: 3 givenname: Dan surname: Levin fullname: Levin, Dan |
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 D81 C92 |
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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 |
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