Risk Aversion and Incentive Effects

By C. Holt, S. Laury. 2002

6,128 citations recorded by the source corpus.

Subfields: Economics and Econometrics, General Decision Sciences, Safety Research

View Paper: https://www.semanticscholar.org/paper/6f229a03b19770d275e3d9492d023e1917635a8e

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Citations in the corpus

Resource Allocation Contests: Experimental Evidence (2013, positive): “It is often the case that subjects in such tasks do not make consistent choices, i.e., instead of monotonically switching to a safe option at one point, they switch back and forth (Holt and Laury, 2002).”
Does Africa Need a Rotten Kin Theorem? Experimental Evidence from Village Economies (2012, background): “See Ligon (1998), Ligon, Thomas, and Worrall (2002), Albarran and Attanasio (2003) for examples.”
A penny for your thoughts: a survey of methods for eliciting beliefs (2014, positive): “However, it may not eliminate the problem, as Holt and Laury (2002) ﬁnds substantial risk aversion even for low levels of incentives.”
Risk perceptions, preferences and management strategies: evidence from a case study using German livestock farmers (2017, methodology): “…utility function U(x) = (1 − r)−1x1−r . notes: all currency units are in euro at the time of the experiment 1 usD = 0.92 euro. note that the returns have been scaled up by a thousand tokens. source: own depiction according to holt and laury (2002) and harrison, lau, and elisabet rutström (2007).”
Common components of risk and uncertainty attitudes across contexts and domains: evidence from 30 countries (2015, background): “…Verkasalo, Walkowitz, & Wichardt (2011) compared the performance of the survey question in terms of intertemporal stability of preferences to that of an incentivized task popularized by Holt & Laury (2002), and found the survey question to perform much better (see also Charness & Viceisza, 4 2012).”
Monotone Stochastic Choice Models: The Case of Risk and Time Preferences (2015, background): “However, the use 17These have been shown to be key streams in the treatment of time preferences (see Benôıt and Ok, 2007; see also Horowitz, 1992).”
Adoption of weather‐index insurance: learning from willingness to pay among a panel of households in rural Ethiopia (2013, positive): “The hypothetical stakes in the hypothetical lottery were much higher than the stakes played for in the real lottery, and higher stakes are often associated with more risk-averse behavior (Holt and Laury 2002).”
Neural differentiation of expected reward and risk in human subcortical structures. (2006, background): “Economic studies (Bossaerts and Plott, 2004; Holt and Laury, 2002) have confirmed that risk considerations, in addition to expected reward, indeed play a role in decision-making under uncertainty and in the valuation of risky gambles.”
Experimental Evidence on Alternative Environmental Valuation Methods (2006, positive): “The MPL design has been employed in three general areas in experimental economics: in the elicitation of risk attitudes by Holt and Laury (2002) , in the elicitation of valuations for a commodity by Kahneman et al. (1990), and in the elicitation of individual discount rates by Coller and Williams (”
A field experiment on the impact of weather shocks and insurance on risky investment (2011, positive): “Our experiment protocol relates to experiments on choice under uncertainty, particularly, those that elicit preferences for risk using choices over monetary lotteries (see for example Binswanger 1980; Holt and Laury 2002, 2005; Cox and Harrison 2008; Harrison et al. 2010, and several others).”