Home > Research > Publications & Outputs > Stability of probability effects in utility eli...

Links

Text available via DOI:

View graph of relations

Stability of probability effects in utility elicitation

Research output: Contribution to Journal/MagazineJournal articlepeer-review

Published

Standard

Stability of probability effects in utility elicitation. / Loehndorf, Birgit; Sachs, Anna-Lena; Vetschera, Rudolf.
In: Central European Journal of Operations Research, Vol. 22, No. 4, 12.2014, p. 755-777.

Research output: Contribution to Journal/MagazineJournal articlepeer-review

Harvard

Loehndorf, B, Sachs, A-L & Vetschera, R 2014, 'Stability of probability effects in utility elicitation', Central European Journal of Operations Research, vol. 22, no. 4, pp. 755-777. https://doi.org/10.1007/s10100-013-0301-z

APA

Loehndorf, B., Sachs, A.-L., & Vetschera, R. (2014). Stability of probability effects in utility elicitation. Central European Journal of Operations Research, 22(4), 755-777. https://doi.org/10.1007/s10100-013-0301-z

Vancouver

Loehndorf B, Sachs AL, Vetschera R. Stability of probability effects in utility elicitation. Central European Journal of Operations Research. 2014 Dec;22(4):755-777. doi: 10.1007/s10100-013-0301-z

Author

Loehndorf, Birgit ; Sachs, Anna-Lena ; Vetschera, Rudolf. / Stability of probability effects in utility elicitation. In: Central European Journal of Operations Research. 2014 ; Vol. 22, No. 4. pp. 755-777.

Bibtex

@article{9c5204b2ce8c4a77a3c8aa12fed61031,
title = "Stability of probability effects in utility elicitation",
abstract = "The present study investigates the impact of probability levels on the response mode bias in utility elicitation and its stability across a wide range of conditions. Experiments are performed with subjects from two different cultures, Austria and Pakistan, and a variety of methods to measure risk attitudes of subjects on a cardinal scale are used. Results indicate robust influences of probability levels on both the Certainty Equivalent method and the Probability Equivalent method of utility elicitation. Both methods are affected by probability changes in the opposite direction, creating the characteristic “tailwhip” pattern observed in previous research. Our study shows that this effect remains stable across different cultural backgrounds, measurement methods, and problem parameters, and is thus not an artefact but a reproducible phenomenon.",
author = "Birgit Loehndorf and Anna-Lena Sachs and Rudolf Vetschera",
year = "2014",
month = dec,
doi = "10.1007/s10100-013-0301-z",
language = "English",
volume = "22",
pages = "755--777",
journal = "Central European Journal of Operations Research",
issn = "1613-9178",
publisher = "Springer Verlag",
number = "4",

}

RIS

TY - JOUR

T1 - Stability of probability effects in utility elicitation

AU - Loehndorf, Birgit

AU - Sachs, Anna-Lena

AU - Vetschera, Rudolf

PY - 2014/12

Y1 - 2014/12

N2 - The present study investigates the impact of probability levels on the response mode bias in utility elicitation and its stability across a wide range of conditions. Experiments are performed with subjects from two different cultures, Austria and Pakistan, and a variety of methods to measure risk attitudes of subjects on a cardinal scale are used. Results indicate robust influences of probability levels on both the Certainty Equivalent method and the Probability Equivalent method of utility elicitation. Both methods are affected by probability changes in the opposite direction, creating the characteristic “tailwhip” pattern observed in previous research. Our study shows that this effect remains stable across different cultural backgrounds, measurement methods, and problem parameters, and is thus not an artefact but a reproducible phenomenon.

AB - The present study investigates the impact of probability levels on the response mode bias in utility elicitation and its stability across a wide range of conditions. Experiments are performed with subjects from two different cultures, Austria and Pakistan, and a variety of methods to measure risk attitudes of subjects on a cardinal scale are used. Results indicate robust influences of probability levels on both the Certainty Equivalent method and the Probability Equivalent method of utility elicitation. Both methods are affected by probability changes in the opposite direction, creating the characteristic “tailwhip” pattern observed in previous research. Our study shows that this effect remains stable across different cultural backgrounds, measurement methods, and problem parameters, and is thus not an artefact but a reproducible phenomenon.

U2 - 10.1007/s10100-013-0301-z

DO - 10.1007/s10100-013-0301-z

M3 - Journal article

VL - 22

SP - 755

EP - 777

JO - Central European Journal of Operations Research

JF - Central European Journal of Operations Research

SN - 1613-9178

IS - 4

ER -