TY - JOUR
T1 - The Affect Heuristic and the Attractiveness of Simple Gambles
AU - Bateman, Ian
AU - Dent, S.
AU - Peters, E.
AU - Slovic, P.
AU - Starmer, C.
PY - 2007
Y1 - 2007
N2 - Prior studies have observed that the attractiveness of playing a simple gamble (7/36 to win $9; otherwise win nothing) is greatly enhanced by introducing a small loss (7/36 win $9; otherwise lose 50). The present studies tested and confirmed an explanation of this finding based on the concept of evaluability and the affect heuristic. Evaluators of the "no-loss" gamble lack a precise feeling for how good $9 is, hence give it little weight in their judgment. In the second gamble, comparison with the small loss makes $9 "come alive with feeling" and become weighted in the judgment, thus increasing the attractiveness of the gamble. These results demonstrate the importance of contextual factors in determining affect and preference for simple risk-taking opportunities. They show that the meaning, utility, and weighting of even a very familiar monetary outcome such as $9 is not fixed, but depends greatly on these contextual factors. Copyright (c) 2007 John Wiley & Sons, Ltd.
AB - Prior studies have observed that the attractiveness of playing a simple gamble (7/36 to win $9; otherwise win nothing) is greatly enhanced by introducing a small loss (7/36 win $9; otherwise lose 50). The present studies tested and confirmed an explanation of this finding based on the concept of evaluability and the affect heuristic. Evaluators of the "no-loss" gamble lack a precise feeling for how good $9 is, hence give it little weight in their judgment. In the second gamble, comparison with the small loss makes $9 "come alive with feeling" and become weighted in the judgment, thus increasing the attractiveness of the gamble. These results demonstrate the importance of contextual factors in determining affect and preference for simple risk-taking opportunities. They show that the meaning, utility, and weighting of even a very familiar monetary outcome such as $9 is not fixed, but depends greatly on these contextual factors. Copyright (c) 2007 John Wiley & Sons, Ltd.
U2 - 10.1002/bdm.558
DO - 10.1002/bdm.558
M3 - Article
SN - 0894-3257
VL - 20
SP - 365
EP - 380
JO - Journal of Behavioral Decision Making
JF - Journal of Behavioral Decision Making
IS - 4
ER -