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Reference-Dependent Preferences

A Theoretical and Experimental Investigation of Individual Reference-Point Formation

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  • Publication in the fiels of economic studies

  • Includes supplementary material: sn.pub/extras

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Table of contents (8 chapters)

  1. Front Matter

    Pages 1-1
  2. Introduction

    • Evelyn Stommel
    Pages 1-7
  3. Literature review and research gaps

    1. Front Matter

      Pages 9-9
    2. Theoretical basis

      • Evelyn Stommel
      Pages 11-30
    3. Reference-dependent preferences

      • Evelyn Stommel
      Pages 31-63
  4. Summary and discussion

    1. Front Matter

      Pages 151-151
    2. Summary, implications, and outlook

      • Evelyn Stommel
      Pages 153-161
  5. Back Matter

    Pages 13-13

About this book

Most of our daily decisions are made under uncertainty and risk, without complete information about all relevant aspects. We all constantly make such decisions, from the simplest “should I take my raincoat today?” to more serious examples, such as those on investment and portfolio decisions, holding of shares, insurance patterns, or negotiation processes. Within these situations, the bounded rationality of individuals and institutions towards risk and uncertainty is embedded. The central theory underlying this study is prospect theory, an adequate model to predict the real and most often bounded rationality of human behavior given certain incentives, preferences, and constraints.

Evelyn Stommel investigates a crucial question within behavioral economics, namely the research on reference points within human decision making processes. Based on experimental investigations, she focuses three key challenges: what constitutes a reference point, the process of the formation of a reference point, and factors influencing the formation of reference points.

Authors and Affiliations

  • Essen, Germany

    Evelyn Stommel

About the author

Evelyn Stommel is a doctoral student at Wissenschaftliche Hochschule für Unternehmensführung (WHU) – Otto Beisheim School of Management.

Bibliographic Information

  • Book Title: Reference-Dependent Preferences

  • Book Subtitle: A Theoretical and Experimental Investigation of Individual Reference-Point Formation

  • Authors: Evelyn Stommel

  • DOI: https://doi.org/10.1007/978-3-658-00635-8

  • Publisher: Springer Gabler Wiesbaden

  • eBook Packages: Business and Economics, Economics and Finance (R0)

  • Copyright Information: Springer Fachmedien Wiesbaden 2013

  • Softcover ISBN: 978-3-658-00634-1Published: 03 November 2012

  • eBook ISBN: 978-3-658-00635-8Published: 02 November 2012

  • Edition Number: 1

  • Number of Pages: XV, 224

  • Number of Illustrations: 9 b/w illustrations

  • Topics: Microeconomics, Organization

Buy it now

Buying options

eBook USD 39.99
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book USD 54.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Other ways to access