We investigate the role of nominal loss aversion in individual investment decisions. As part of a large-scale internet experiment, we present a large, heterogeneous sample of subjects with a series of financial investment decisions. Each decision combines a real and a nominal environment. Subjects choose how much to invest, and how to allocate their investment between a relatively safe and a relatively risky option. The real scenarios include both gains and losses, with each real scenario presented as a nominal gain and a nominal loss. This design allows us to distinguish between aversion to real and aversion to nominal losses.
24 Okt. 2013 → 26 Okt. 2013
Regional ESA Conference (North America)
Österreichische Systematik der Wissenschaftszweige (ÖFOS)