Willingness-to-Pay and Willingness-to-Accept for Risky and Ambiguous Lotteries.

B-Tier
Journal: Journal of Risk and Uncertainty
Year: 1995
Volume: 10
Issue: 3
Pages: 223-33

Authors (2)

Eisenberger, Roselies (not in RePEc) Weber, Martin

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Former studies have shown that people tend to give buying prices that are lower than selling prices. In our study, we investigate if this willingness-to-accept and willingness-to-pay disparity is affected by ambiguity. Using a Becker, DeGroot, and Marschak procedure, we elicit buying, selling, short-selling, and short-buying prices. The results indicate that subjects clearly distinguish between risky and ambiguous lotteries and the different ways in which lotteries are framed. However, the average WTA/WTP ratios are remarkably close for all lotteries considered, as well as for negative and positive framing. Copyright 1995 by Kluwer Academic Publishers

Technical Details

RePEc Handle
repec:kap:jrisku:v:10:y:1995:i:3:p:223-33
Journal Field
Theory
Author Count
2
Added to Database
2026-01-29