The Effect of Probability Preferences in Gambling Situations.
Abstract
An experiment was run to examine the main factors determining choices among bets in gambling situations. In the first experiment, where all the bets had an equal expected value, a specific set of preferences among probabilities was observed. The most important of these is a preference for a 4/8 probability of wining and an avoidance of a 6/8 probability of winning. In the seond experiment, where all bets had differing expected values, it was shown that both preferences for bets with higher expected values and preferences among probabilities influence subjects' choices. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Jun 01, 1973
- Accession Number
- AD0764495
Entities
People
- Jerry Duane Lindstrom
Organizations
- Naval Postgraduate School