Randomization Devices and the Elicitation of Ambiguity-Averse Preferences. / Bade, Sophie.

In: Journal of Economic Theory, Vol. 159, No. Part A, 01.09.2015, p. 221–235.

Research output: Contribution to journalArticlepeer-review



  • RandInc4

    Accepted author manuscript, 341 KB, PDF document



In random incentive mechanisms agents choose from multiple problems and a randomization device selects a single problem to determine payment. Agents are assumed to act as if they faced each problem on its own. While this approach is valid when agents are expected utility maximizers, ambiguity-averse agents may use the randomization device to hedge and thereby contaminate the data.
Original languageEnglish
Pages (from-to)221–235
Number of pages15
JournalJournal of Economic Theory
Issue numberPart A
Early online date4 Jun 2015
Publication statusPublished - 1 Sep 2015
This open access research output is licenced under a Creative Commons Attribution-NonCommercial-NoDerivs 3.0 Unported License.

ID: 25037256