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Minding the Gap: On the Origins of Probability Weighting and the Description-Experience Gap| title | Minding the Gap: On the Origins of Probability Weighting and the Description-Experience Gap |
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| start_date | 2024/11/22 |
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| schedule | 11h15-12h30 |
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| online | no |
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| location_info | 6th floor room |
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| summary | We provide evidence that “noisy coding” is responsible for both (i) classic probability weighting and (ii) its reversal when the properties of lotteries are learned by sampling rather than by explicit description. Guided by a stylized model of noisy sampling, we show that simply forcing experimental subjects to sample redundant information about the primitives of lotteries causes both probability weighting and the description-experience gap to disappear, replaced with broadly neoclassical behavior. This strongly suggests that these anomalies are a joint outgrowth of decision makers’ noisy representations of the primitives of lotteries rather than expressions of true risk preferences |
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| responsibles | Saucet, Pejsachowicz |
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Workflow history| from state (1) | to state | comment | date |
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| submitted | published | | 2024/11/21 13:07 UTC |
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