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Risk-taking for others under accountability

Pahlke, J., Strasser, S. and Vieider, F. M. (2012) Risk-taking for others under accountability. Economics Letters, 114 (1). pp. 102-105. ISSN 0165-1765

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To link to this item DOI: 10.1016/j.econlet.2011.09.037

Abstract/Summary

We let subjects take risky decisions that affect themselves and a passive recipient. Adding a requirement to justify their choices significantly reduces loss aversion. This indicates that such an accountability mechanism may be effective at debiasing loss aversion in agency relations.

Item Type:Article
Refereed:Yes
Divisions:Faculty of Arts, Humanities and Social Science > School of Politics, Economics and International Relations > Economics
ID Code:46527
Publisher:Elsevier

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