Replication data for: The Realization Effect: Risk-Taking after Realized versus Paper Losses
- Imas, Alex
AbstractUnderstanding how prior outcomes affect risk attitudes is critical for the study of choice under uncertainty. A large literature documents the significant influence of prior losses on risk attitudes. The findings appear contradictory: some studies find greater risk-taking after a loss, whereas others show the opposite—that people take on less risk. I reconcile these seemingly inconsistent findings by distinguishing between realized versus paper losses. Using new and existing data, I replicate prior findings and demonstrate that following a realized loss, individuals avoid risk; if the same loss is not realized, a paper loss, individuals take on greater risk.
Is supplement to
DOI: 10.1257/aer.20140386 (Text)
Imas, Alex. “The Realization Effect: Risk-Taking After Realized Versus Paper Losses.” American Economic Review 106, no. 8 (August 2016): 2086–2109. https://doi.org/10.1257/aer.20140386.
- ID: 10.1257/aer.20140386 (DOI)
Update Metadata: 2020-05-18 | Issue Number: 2 | Registration Date: 2019-12-06