Abstract:
This paper experimentally investigates the role of gender-based stereotypes in the forecasting of risk attitudes. Subjects predict the gamble choice of target subjects in one of three treatments: 1) Visual – the predictor can only observe the target; 2) Information – the predictor has information about the targets’ response to two statements from a risk-preference survey; and 3) Combined – the predictor both observes the targets and has the targets’ two responses to the risk-preference survey. Our results suggest that stereotypes play a considerable role in forming predictions about others’ risk attitudes and that these stereotypes persist even when more relevant information is available.