Emotions and Risk Attitudes

• 成果类型: Article
• 署名作者: Meier, Armando N.
• 署名单位: University of Lausanne; University of Basel
• 刊物名称: AMERICAN ECONOMIC JOURNAL-APPLIED ECONOMICS
• ISSN/ISSBN: 1945-7782
• DOI: 10.1257/app.20200164
• 发表日期: 2022
• 页码: 527-558
• 关键词: DECISION-MAKING; social preferences; positive affect; ECONOMICS; VIOLENCE; HEALTH; time; propensity; PSYCHOLOGY; STABILITY

摘要

Previous work has shown that preferences are not always stable across time, but surprisingly little is known about the reasons for this instability. I examine whether variation in people's emotions over time predicts changes in risk attitudes. Using a large-panel data-set, I identify happiness, anger, and fear as significant correlates of within-person changes in risk attitudes. Robustness checks indicate a limited role for alternative explanations. An event study around the death of a parent or child further confirms a large relationship between emotions and risk attitudes.