Bosman, R., &Van Winden, F. (2010). Global risk, investment and emotions. Economica, 77(307), 451-471.
We investigate a novel dynamic choice problem in an experiment where emotions are measured through self‐reports. The choice problem concerns the investment of an amount of money in a safe option and a risky option when there is a ‘global risk’ of losing all earnings, from both options, including any return from the risky option. Our key finding is that global risk can reduce the ...