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A Two-Ball Ellsberg Paradox: An Experiment (with Simon Lazarus) 7 February 2023, 14:00 - 15:00
To sign up for meetings with the speaker, please use this link: https://docs.google.com/spreadsheets/d/1SMwa7ABjdxZYqwfacmfdofYvodtmH4UHReYn5L1F3M4/edit#gid=0
We conduct an incentivized experiment on a nationally representative US sample (N=708) to test whether people prefer to avoid ambiguity even when it means choosing dominated options. In contrast to the literature, we find that 55% of subjects prefer a risky act to an ambiguous act that always provides a larger probability of winning. Our experimental design shows that such a preference is not mainly due to a lack of understanding. We conclude that subjects avoid ambiguity per se rather than avoiding ambiguity because it may yield a worse outcome. Such behavior cannot be reconciled with existing models of ambiguity aversion in a straightforward manner.
Microsoft Teams Link:
teams.microsoft.com/l/meetup-join/19%3ameeting_M2FlZWEyODktOGIxZi00ZDI1LWFkM2UtODU4MDhiZDI4YThm%40thread.v2/0?context=%7b%22Tid%22%3a%22cc95de1b-97f5-4f93-b4ba-fe68b852cf91%22%2c%22Oid%22%3a%22d3856ca2-fb7e-4595-affc-1c66a00931a7%22%7d
Date:
7 February 2023, 14:00
Venue:
Online
Speaker:
Mr Brian Jabarian (PSE and Panthéon-Sorbonne University)
Organising department:
Department of Economics
Organiser:
Bethany McWhinnie (Global Priorities Institute (GPI))
Organiser contact email address:
gpi-office@philosophy.ox.ac.uk
Host:
Rossa O'Keeffe-O'Donovan (University of Oxford)
Part of:
Global Priorities Institute (GPI) - Seminar Series
Booking required?:
Not required
Audience:
Public
Editors:
Rossa O'Keeffe-O'Donovan,
Sven Herrmann,
Christian Panzer,
Bethany McWhinnie
