WP 2019-03 The Behavioral Welfare Economics of Insurance

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Published in 2019 in The Geneva Risk and Insurance Review, Volume 44, Issue 2.

AUTHORS: Glenn W. Harrison

ABSTRACT: Behavioral economics poses a challenge for the welfare evaluation of insurance products and policy. It demands that we recognize that the descriptive account of behavior toward insurance depends on risk and… more »

WP 2019-02 Behavioral Insurance and Economic Theory: A Literature Review

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Published in 2019 in Risk Management & Insurance Review, Volume 22.

AUTHORS: Glenn W. Harrison and Jia Min Ng

ABSTRACT: Decisions to purchase insurance should be a perfect place to see economic theory at work in general, and behavioral economics at work in particular. We have well‐developed theories of the… more »

WP 2018-06 Eye-Tracking and Economic Theories of Choice Under Risk

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Published in 2019 in Journal of the Economic Science Association, Volume 5, Issue 1.

AUTHORS: Glenn W. Harrison and J. Todd Swarthout

ABSTRACT: We examine the ability of eye movement data to help understand the determinants of decision-making over risky prospects. We start with structural models of choice under risk,… more »

WP 2017-06 Behavioral Responses to Surveys About Nicotine Dependence

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Published in 2017 in Health Economics, Volume 26, Issue S3.

AUTHORS: Glenn W. Harrison

ABSTRACT: Behavioral responses to surveys can significantly affect inferences about population prevalence unless correctly modeled statistically. An important case study is the prevalence of nicotine dependence, a formal psychiatric disorder satisfying clinical criteria. Data from the National… more »

WP 2017-04 The Methodologies of Behavioral Econometrics

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Published in Contemporary Philosophy and Social Science: An Interdisciplinary Dialogue, edited by Michiru Nagatsu, and Attilia Ruzzene, London: Bloomsbury Publishing Plc, 2019.

AUTHORS: Glenn W. Harrison

ABSTRACT: Behavioral econometrics is one part of a methodological trinity that includes theory, data collection and econometrics. Sometimes, on a good methodological day, there are… more »

WP 2017-03 Welfare Effects of Insurance Contract Non-Performance

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AUTHORS: Glenn W. Harrison and Jia Min Ng

ABSTRACT: Non-performance lies at the heart of much of the regulation that insurance companies face. Consumers’ concerns about non-performance of the insurance provider have also been cited as a possible explanation for low demand of microinsurance. We provide a… more »

WP 2017-02 Disordered Gambling Prevalence: Methodological Innovations in a General Danish Population Survey

*Note that this paper was previously listed as WP 2016-02 Gambling Problems in the General Danish Population: Survey Evidence, and then was inadvertently reposted as 2017-02. Both links should direct you to this page, and should there be any newer versions, we will update this page.

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Published in 2018 in Journal… more »

WP 2017-01 The Empirical Adequacy of Cumulative Prospect Theory and its Implications for Normative Assessment

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Published in 2017 in Journal of Economic Methodology, Volume 24, Number 2.

AUTHORS: Glenn W. Harrison and Don Ross

ABSTRACT: Much behavioral welfare economics assumes that expected utility theory (EUT) does not accurately describe most human choice under risk. A substantial literature instead evaluates welfare consequences by taking cumulative prospect theory… more »

WP 2016-11 Once Bitten, Twice Shy: The Role of Inertia and Personal Experience in Risk Taking

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Published in 2019 in Journal of Financial Economics, Volume 132, Issue 3.

AUTHORS: Steffen Andersen, Tobin Hanspal, Kasper Meisner Nielsen

ABSTRACT: We study whether personal experiences are so powerful that they make individuals actively shy away from risk. Our research design relies on portfolio decisions relating to inheritances, which alter the… more »

WP 2016-10 Fire Sales and House Prices: Evidence from Estate Sales due to Sudden Death

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Published in 2017 in Management Science, Volume 63, Number 1.

AUTHORS: Steffen Andersen and Kasper Meisner Nielsen

ABSTRACT: This study investigates when forced sales of real estate turn into fire sales by using a natural experiment which allows us to separate supply and demand effects: Forced sales result from sudden death… more »