演講者簡介 : Professor Jain received his Ph.D. in Economics from the Ohio State University in 2018. He is currently an Assistant Research Fellow at the Institute of Economics, Academia Sinica. His r primary fields of research interest are implementation theory, mechanism design, and experimental economics.
演講摘要 : We investigate the independence axiom - a central tenet of the expected utility theory. We design a lab experiment to test this axiom on the entire probability simplex. This method allows us to study both the certainty effect and the reverse certainty effect. A preliminary analysis suggests that the independence axiom is violated systematically across the entire simplex. Moreover, the nature of violations is consistent with the reverse certainty effect as opposed to the accepted experimental knowledge of the certainty effect. Our experiment contributes to the existing literature by studying the independence axiom on the entire simplex and is the first one to document the prevalence of the reverse certainty effect.
