Salience, risky choices and gender

Alison Booth and Patrick Nolen

Economics Letters, 2012, vol. 117, issue 2, 517-520

Abstract: Risk theories typically assume individuals make risky choices using probability weights that differ from objective probabilities. Recent theories suggest that probability weights vary depending on which portion of a risky environment is made salient. Using experimental data we show that salience affects young men and women differently, even after controlling for cognitive and non-cognitive skills. Men are significantly more likely than women to switch from a certain to a risky choice once the upside of winning is made salient, even though the expected value of the choice remains the same.

Keywords: Gender; Salience; Risk aversion; Probability weights; Cognitive ability (search for similar items in EconPapers)
JEL-codes: D8 D81 J16 (search for similar items in EconPapers)
Date: 2012
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Citations: View citations in EconPapers (13)

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Related works:
Working Paper: Salience, Risky Choices and Gender (2012)
Working Paper: Salience, Risky Choices and Gender (2012)
Working Paper: Salience, Risky Choices and Gender (2012)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolet:v:117:y:2012:i:2:p:517-520

DOI: 10.1016/j.econlet.2012.06.046

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