Anticipating policy instrument preferences can be an important step in policy design to address pressing sustainability problems. But studying preferences for policy instruments is a difficult task because sustainability problems involve a non-negligible degree of trade-offs and uncertainty. We therefore study the role of actors’ underlying ideologies (policy core beliefs) and risk attitudes in forming their preferences for different instruments. Combining the advocacy coalition framework with multi-attribute utility theory, both ideologies and attitudes toward uncertain policy consequences can influence instrument preferences. So far, policy studies literature has paid little attention to trade-offs between policy core beliefs or risk attitudes. Using Bayesian regression models on data from actors in Swiss pesticide risk reduction policy, we found that attitudes toward trade-offs and risk are indeed relevant to explain preferences for different regulatory and market-based instruments addressing agricultural pesticide use. Therefore, when designing policies for sustainability problems, considering the relative importance of policy core beliefs for different actors can help to find effective and broadly supported solutions. In addition, risk attitudes should be considered when policy design involves more coercive and stimulative policy instruments.

With the rise of experimental research in the social sciences, numerous methods to elicit and classify people’s risk attitudes in the laboratory have evolved. However, evidence suggests that attitudes towards risk may vary considerably when measured with different methods. Based on a within-subject experimental design using four widespread risk preference elicitation tasks, we find that the different methods indeed give rise to considerably varying estimates of individual and aggregate level risk preferences. Conducting simulation exercises to obtain benchmarks for subjects’ behavior, we find that the observed heterogeneity in risk preference estimates across methods is qualitatively similar to the heterogeneity arising from independent random draws from the choice distributions observed in the experiment. Our study, however, provides evidence that subjects are surprisingly well aware of the variation in the riskiness of their choices. We argue that this calls into question the common interpretation of variation in revealed risk preferences as being inconsistent.

The paper performs an in-depth comparison of four incentivised risk elicitation tasks. We show by means of a simulation exercise that part of the often observed heterogeneity of estimates across tasks is due to task-specific measurement error induced by the mere mechanics of the tasks. We run a replication experiment in a homogeneous subject pool using a between subjects one-shot design. Results shows that the task estimates vary over and above what can be explained by the simulations. We investigate the possibility the tasks elicit different types of preferences, rather than simply provide a different measure of the same preferences. In particular, the availability of a riskless alternative plays a prominent role helping to explain part of the differences in the estimated preferences.

Strategic uncertainty is the uncertainty that players face with respect to the purposeful behavior of other players in an interactive decision situation. Our paper develops a new method for measuring strategic-uncertainty attitudes and distinguishing them from risk and ambiguity attitudes. We vary the source of uncertainty (whether strategic or not) across conditions in a ceteris paribus manner. We elicit certainty equivalents of participating in two strategic 2 × 2 games (a stag-hunt and a market-entry game) as well as certainty equivalents of related lotteries that yield the same possible payoffs with exogenously given probabilities (risk) and lotteries with unknown probabilities (ambiguity). We provide a structural model of uncertainty attitudes that allows us to measure a preference for or an aversion against the source of uncertainty, as well as optimism or pessimism regarding the desired outcome. We document systematic attitudes towards strategic uncertainty that vary across contexts. Under strategic complementarity [substitutability], the majority of participants tend to be pessimistic [optimistic] regarding the desired outcome. However, preferences for the source of uncertainty are distributed around zero.

In 2021, there were 11.7 million licensed young drivers in the U.S. This is 1.5 million fewer young drivers compared to 2007. The phenomenon of delay in driving licensure among teens has notable implications for opportunities positioning them for life success when transitioning into emerging adulthood and in later life.

The DOSPERT scale has been used extensively to understand individual differences in risk attitudes across varying decision domains since 2002. The present study reports a reliability generalization meta-analysis to summarize the internal consistency of both the initial and the revised versions of DOSPERT. It also examined factors that can influence the reliability of the DOSPERT and its subscales. A total of 104 samples (N = 30,109) that reported 465 coefficient alphas were analyzed. Results of meta-regression models showed that the overall coefficient alpha of the DOSPERT total scores was satisfactory, regardless of the scale and study characteristics. Coefficient alphas varied significantly across domain subscales, with values ranging from .68 for the social domain to .80 for the recreational domain. In addition, the alpha coefficients of subscales varied significantly depending on various study characteristics. Finally, we report the meta-analysis of the intercorrelations among DOSPERT subscales and reveal that intercorrelations among the subscales are heterogeneous. We discuss the theoretical implications of the present findings.

We explore different contexts and mechanisms that might promote or alleviate the gender effect in risk aversion. Our main result is that we do not find gender differences in risk aversion when the choice is framed as a willingness-to-accept (WTA) task. When the choice is framed as a willingness-to-pay (WTP) task, men are willing to pay more and thus exhibit lower risk aversion. However, when the choice is framed as a willingness to accept task, women will not accept less than men. These findings imply gender differences in the endowment effect. We also find that the effect size of the gender difference in risk aversion is reduced or eliminated as the context changes from tasks framed as gambles to other domains; and that attitudes toward gambling mediate the gender effect in gambling framed tasks.

In this article, we report the results of an experiment designed to address the effect of risk attitudes on valuations of aged wines. We find that higher risk taking in the economic domain is associated with a significantly higher willingness to pay for an old wine. Given the increasing interest of consumers and investors in old wines, our results are applicable to the pricing of old wines and to the use of auctions as an efficient willingness to pay elicitation mechanism. (JEL Classifications: C91, D44, L66)

A number of theoretical and empirical studies analyze the effect of inclement weather on voter turnout and in turn on parties’ vote share. However, empirical findings suggest that the effect of weather on parties’ vote share is greater than can be explained by its influence on voter turnout alone. This article provides experimental evidence of the effect of weather on vote choice between more- versus less-risky candidates. Findings show that bad weather significantly and sizeably depresses risk tolerance making voters less likely to vote for risky candidates. This article also provides evidence of a possible mechanism: unpleasant weather conditions depress agents’ mood, making agents less inclined to vote for candidates who are perceived as more risky.

Hog producers in Indiana and Nebraska were surveyed about sources of risk, effectiveness of risk management strategies, and prior participation in and desire for additional risk management education. Ownership of hogs by the producer, size of the operation, and age did have significant effects on ratings of both sources of risk and effectiveness of risk management strategies. Probit analysis found age, prior attendance, knowledge and prior use of the tool, level of integration, and concern about price and performance risk have significant effects on interest in further education about production contracts, futures and options, packer marketing contracts, and financial management.