Risk and rationality: the relative importance of probability weighting and choice set dependence

HIGHLIGHTS

  • who: Adrian Bruhin from the Faculty of Business and Economics (HEC Lausanne), University of Lausanne, Lausanne, Switzerland have published the research: Risk and rationality: The relative importance of probability weighting and choice set dependence, in the Journal: (JOURNAL)
  • what: The authors show non-parametrically that probability weighting and choice set dependence both play a role at describing aggregate choices. The authors focus on ST as the primary example of a choice set dependent theory because it is becoming the main contender to CPT (Dertwinkel-Kalt and amp; Koster, 2020). The paper shows that a parsimonious . . .

     

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