Payoff dominance vs. cognitive transparency in decision making.

This paper reports on three laboratory experiments designed to investigate the roles of decision costs and rewards on the accuracy of economic decisions. The experimental vehicle is a purchase decision employing the Becker-DeGroot-Marshak (BDM) mechanism. The first experiment verifies the incentiv...

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Publicado en:Economic Inquiry Vol. 36; no. 2; pp. 272 - 286
Autores principales: Irwin, Julie R., McClelland, Gary H., McKee, Michael
Formato: Artículo
Publicado: Wiley-Blackwell April 1998
Materias:
Acceso en línea:Ver este registro en EBSCOhost
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        atl: Payoff dominance vs. cognitive transparency in decision making.
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          Irwin, Julie R.
          McClelland, Gary H.
          McKee, Michael
      su:
        Contingent valuation
        Factorial experiment designs
        Information theory in economics
        Economic decision making
      sug:
        subj:
          Contingent valuation
          Factorial experiment designs
          Information theory in economics
          Economic decision making
      ab: This paper reports on three laboratory experiments designed to investigate the roles of decision costs and rewards on the accuracy of economic decisions. The experimental vehicle is a purchase decision employing the Becker-DeGroot-Marshak (BDM) mechanism. The first experiment verifies the incentive-compatibility of the BDM in a pure induced-value setting; the third addresses the role of feedback information. Steep payoff schedules are found to be necessary to optimizing behavior only in cases where subjects must search out an optimal strategy rather than being able to deduce it from information provided. Reprinted by permission of Western Economic International 7400 Center Ave., Ste. 109, Huntington Beach, CA 92647-3039, USA ph. 1-714-898-3222, Fax 1-714-891-6715 E-mail info@weainternational.org http://www.weainternational.org.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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