We combine a survey and an experiment with real pay-out among Peking University students to measure and validate individual risk attitudes. The experiment involves choosing between a cash payment and playing a lottery. The survey questions ask for the reservation price of a hypothetical lottery and self-assessment of risk attitude on a 0-10 scale. We confirm familiar findings: risk aversion dominates, ...
Bonn:
Institute for the Study of Labor (IZA),
2010,
(IZA DP No. 4807)
| Xiaohao Ding, Joop Hartog, Yuze Sun