Testing the ‘standard’ model of stochastic choice under risk

B-Tier
Journal: Journal of Risk and Uncertainty
Year: 2012
Volume: 45
Issue: 3
Pages: 191-213

Score contribution per author:

0.670 = (α=2.01 / 3 authors) × 1.0x B-tier

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

Abstract

Models of stochastic choice are intended to capture the substantial amount of noise observed in decisions under risk. We present an experimental test of one model, which many regard as the default—the Basic Fechner model. We consider one of the model’s key assumptions—that the noise around the subjective value of a risky option is independent of other features of the decision problem. We find that this assumption is systematically violated. However the main patterns in our data can be accommodated by a more recent variant of the Fechner model, or within the random preference framework. Copyright Springer Science+Business Media New York 2012

Technical Details

RePEc Handle
repec:kap:jrisku:v:45:y:2012:i:3:p:191-213
Journal Field
Theory
Author Count
3
Added to Database
2026-01-25