Decision making for others: The case of loss aversion

C-Tier
Journal: Economics Letters
Year: 2017
Volume: 161
Issue: C
Pages: 154-156

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

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

Abstract

Risky decisions are at the core of economic theory. While many of these decisions are taken on behalf of others rather than for oneself, the existing literature finds mixed results on whether people take more or less risk for others then for themselves. Recent studies suggest that taking decisions for others reduces loss aversion, thereby increasing risk taking on behalf of others. To test this, we elicit loss aversion in three treatments: making risky decisions for oneself, for one other subject, or for the decision maker and another person combined. We find a clear treatment effect when making decisions for others but not when making decisions for both.

Technical Details

RePEc Handle
repec:eee:ecolet:v:161:y:2017:i:c:p:154-156
Journal Field
General
Author Count
2
Added to Database
2026-01-25