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Reference Points and Effort Provision.

Abstract:

A key open question for theories of reference-dependent preferences is what determines the reference point. One candidate is expectations: what people expect could affect how they feel about what actually occurs. In a real-effort experiment, we manipulate the rational expectations of subjects and check whether this manipulation influences their effort provision. We find that effort provision is significantly different between treatments in the way predicted by models of expectation-based refe...

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Volume:
3939
Series:
IZA Discussion Paper Series
Publication date:
2009-01-01
URN:
uuid:47853025-70e6-4f74-96b8-e30229132124
Local pid:
oai:economics.ouls.ox.ac.uk:15279
Language:
English

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