PhD Lunch Seminars Amsterdam

Speaker(s)
Te Bao
Date
2011-03-15
Location
Amsterdam

We conduct a laboratory experiment to investigate how people make discrete choice between several profitable experimental funds in many periods. The experimental data suggest that people tend to make decision based on the past performance of the funds, and put high weight on most recent one or two periods. A logit model is estimated and the result suggests that the way people switch is also related to the type of pro t dynamics they see on the computer screen.