In this paper, the empirical performance of several preference functionals is assessed using individual and group experimental data. We investigate if there is a risky choice theory that fits group decisions better than alternative theories, and if there are significant differences between individual and group choices. Experimental findings reported in this paper provide answers to both of those questions showing that expected utility gains a "winning" position over higher-level functionals (we considered disappoint aversion and two variants of rank-dependent utility) when risky choices are undertaken by individuals as well as by small groups. However, in the group experiment, alternatives (and, most notably, disappoint aversion) improve their relative performance, a fact that hints at the existence of differences between individual and group choices. We interpreted this result as evidence that feelings-like disappointment aversion become stronger in group decision. © 2014 Springer Science+Business Media New York.
Estimating individual and group preference functionals using experimental data / A., Morone; Morone, Piergiuseppe. - In: THEORY AND DECISION. - ISSN 0040-5833. - 77:3(2014), pp. 403-422. [10.1007/s11238-014-9431-6]
Estimating individual and group preference functionals using experimental data
MORONE, PIERGIUSEPPE
2014
Abstract
In this paper, the empirical performance of several preference functionals is assessed using individual and group experimental data. We investigate if there is a risky choice theory that fits group decisions better than alternative theories, and if there are significant differences between individual and group choices. Experimental findings reported in this paper provide answers to both of those questions showing that expected utility gains a "winning" position over higher-level functionals (we considered disappoint aversion and two variants of rank-dependent utility) when risky choices are undertaken by individuals as well as by small groups. However, in the group experiment, alternatives (and, most notably, disappoint aversion) improve their relative performance, a fact that hints at the existence of differences between individual and group choices. We interpreted this result as evidence that feelings-like disappointment aversion become stronger in group decision. © 2014 Springer Science+Business Media New York.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.