reported by Kahneman and Tversky (1979)” (p. 888). A similar conclusion is reached by
Kachelmeier and Shehata (1992) who made cash payments in all rounds. They report
no significant effects of wealth accumulation on elicited risk preferences and conclude
that wealth effects are not pronounced. It is worth noting that this conclusion is based
on an additional assumption that future earnings are not fully anticipated when earnings
are accumulated in a series of rounds.
A more nuanced conclusion is reached by Andersen et al. (2013). They use confi-
dential demographic and wealth data for Danish subjects ...
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