Violations of the independence axiom in common ratio problems: An experimental test of some competing hypotheses

DOI10.1007/BF02283515zbMath0713.90021OpenAlexW2052111257WikidataQ63373243 ScholiaQ63373243MaRDI QIDQ750274

Chris Starmer, Robert Sugden

Publication date: 1989

Published in: Annals of Operations Research (Search for Journal in Brave)

Full work available at URL: https://doi.org/10.1007/bf02283515

zbMATH Keywords

testingprospect theorygeneralized expected utilitychoice under uncertaintyrank-dependent theory

Mathematics Subject Classification ID

Applications of statistics to economics (62P20) Utility theory (91B16) Measurement and performance in psychology (91E45)

Related Items (35)

Causes of Allais common consequence paradoxes: an experimental dissection ⋮ Composition rules in original and cumulative prospect theory ⋮ Debiasing or regularisation? Two interpretations of the concept of `true preference' in behavioural economics ⋮ Comonotonic independence: The critical test between classical and rank- dependent utility theories ⋮ Generalized similarity judgements: An alternative explanation for choice anomalies ⋮ Recent developments in modelling preferences under risk ⋮ Noise and bias in eliciting preferences ⋮ A simple model of cumulative prospect theory ⋮ Linear cumulative prospect theory with applications to portfolio selection and insurance demand ⋮ A theory of coarse utility ⋮ Learning in the Allais paradox ⋮ Cumulative prospect theory's functional menagerie ⋮ The comonotonic sure-thing principle ⋮ Indistinguishability of small probabilities, subproportionality, and the common ratio effect ⋮ Characterizations of risk aversion in cumulative prospect theory ⋮ Reference dependence in cumulative prospect theory. ⋮ Empirical underidentification in estimating random utility models: The role of choice sets and standardizations ⋮ Half-full or half-empty? A model of decision making under risk ⋮ Separating curvature and elevation: a parametric probability weighting function ⋮ Reference-dependent subjective expected utility. ⋮ Advances in Prospect Theory: Cumulative Representation of Uncertainty ⋮ Risk behavior for gain, loss, and mixed prospects ⋮ Third-generation prospect theory ⋮ Advances in prospect theory: cumulative representation of uncertainty ⋮ Stochastic expected utility theory ⋮ Violations of the independence axiom in common ratio problems: An experimental test of some competing hypotheses ⋮ The sure-thing principle and the comonotonic sure-thing principle: An axiomatic analysis ⋮ A test of rank-dependent utility in the context of ambiguity ⋮ Eliciting beliefs ⋮ Do people maximize quantiles? ⋮ An axiomatization of cumulative prospect theory ⋮ Modelling the stochastic component of behaviour in experiments: Some issues for the interpretation of data ⋮ Why we should not be silent about noise ⋮ A comparison of five models that predict violations of first-order stochastic dominance in risky decision making ⋮ Loss averse behavior

Cites Work

• Regret theory and measurable utility
• Violations of the independence axiom in common ratio problems: An experimental test of some competing hypotheses
• Some implications of a more general form of regret theory
• Nontransitive measurable utility
• The Framing of Decisions and the Psychology of Choice
• "Expected Utility" Analysis without the Independence Axiom
• Regret in Decision Making under Uncertainty
• Prospect Theory: An Analysis of Decision under Risk
• The Dual Theory of Choice under Risk
• Le Comportement de l'Homme Rationnel devant le Risque: Critique des Postulats et Axiomes de l'Ecole Americaine

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