An experimental test on cumulative prospect theory
Zeng Jian-min · Journal of Jinan University · 2007
Cumulative Prospect Theory is a revised version of Prospect Theory.The former adopted CE research norm to study American subjects and got such conclusions:(i) People's risk attitudes have four-fold pattern;(ii) Risk aversion for gain is more pronounced than risk seeking for loss when the probabilities are moderate or high;(iii) The indexes of value function and weight function are less than 1.This research adopted the same research norm to investigate Chinese subjects and found:(i) can be applied to Chinese subjects;(iii) cannot always be applied to Chinese subjects;(ii) can never applied to Chinese subjects.