Eliciting risk and time preferences under induced mood states

Andreas C. Drichoutis; Rodolfo M. Nayga

doi:10.1016/j.socec.2013.04.008

Eliciting risk and time preferences under induced mood states

Andreas C. Drichoutis, Rodolfo M. Nayga

Department of Food and Resource Economics

Research output: Contribution to journal › Article › peer-review

39 Citations (Scopus)

Abstract

We test whether induced mood states have an effect on elicited risk and time preferences in a conventional laboratory experiment. We jointly estimate risk and time preferences and find that both negative and positive mood states increase patience as well as risk aversion but the magnitude of the effects differs between mood states. Results also suggest that risk preferences are affected by whether a cognitively demanding task precedes a risk preference elicitation task but only when a negative mood was induced.

Original language	English
Pages (from-to)	18-27
Number of pages	10
Journal	Journal of Socio-Economics
Volume	45
DOIs	https://doi.org/10.1016/j.socec.2013.04.008
Publication status	Published - 2013 Aug

Keywords

Affect
Discount rates
Lab experiment
Mood
Risk aversion

ASJC Scopus subject areas

Economics and Econometrics

Access to Document

10.1016/j.socec.2013.04.008

Cite this

@article{fc555beeb5184d33a8a4954afe67c562,

title = "Eliciting risk and time preferences under induced mood states",

abstract = "We test whether induced mood states have an effect on elicited risk and time preferences in a conventional laboratory experiment. We jointly estimate risk and time preferences and find that both negative and positive mood states increase patience as well as risk aversion but the magnitude of the effects differs between mood states. Results also suggest that risk preferences are affected by whether a cognitively demanding task precedes a risk preference elicitation task but only when a negative mood was induced.",

keywords = "Affect, Discount rates, Lab experiment, Mood, Risk aversion",

author = "Drichoutis, {Andreas C.} and Nayga, {Rodolfo M.}",

year = "2013",

month = aug,

doi = "10.1016/j.socec.2013.04.008",

language = "English",

volume = "45",

pages = "18--27",

journal = "Journal of Socio-Economics",

issn = "1053-5357",

publisher = "Elsevier Inc.",

}

TY - JOUR

T1 - Eliciting risk and time preferences under induced mood states

AU - Drichoutis, Andreas C.

AU - Nayga, Rodolfo M.

PY - 2013/8

Y1 - 2013/8

N2 - We test whether induced mood states have an effect on elicited risk and time preferences in a conventional laboratory experiment. We jointly estimate risk and time preferences and find that both negative and positive mood states increase patience as well as risk aversion but the magnitude of the effects differs between mood states. Results also suggest that risk preferences are affected by whether a cognitively demanding task precedes a risk preference elicitation task but only when a negative mood was induced.

AB - We test whether induced mood states have an effect on elicited risk and time preferences in a conventional laboratory experiment. We jointly estimate risk and time preferences and find that both negative and positive mood states increase patience as well as risk aversion but the magnitude of the effects differs between mood states. Results also suggest that risk preferences are affected by whether a cognitively demanding task precedes a risk preference elicitation task but only when a negative mood was induced.

KW - Affect

KW - Discount rates

KW - Lab experiment

KW - Mood

KW - Risk aversion

UR - http://www.scopus.com/inward/record.url?scp=84877799185&partnerID=8YFLogxK

U2 - 10.1016/j.socec.2013.04.008

DO - 10.1016/j.socec.2013.04.008

M3 - Article

AN - SCOPUS:84877799185

SN - 1053-5357

VL - 45

SP - 18

EP - 27

JO - Journal of Socio-Economics

JF - Journal of Socio-Economics

ER -

Eliciting risk and time preferences under induced mood states

Abstract

Keywords

ASJC Scopus subject areas

Access to Document

Other files and links

Fingerprint

Cite this