Beliefs and Utility: Experimental Evidence on Preferences for Information

Arbeitspapier

Beliefs are a central determinant of behavior. Recent models assume that beliefs about or the anticipation of future consumption have direct utilityconsequences. This gives rise to informational preferences, i.e., preferences over the timing and structure of information. Using a novel and purposefully simple set-up, we experimentally analyze preferences for information along four dimensions. We find evidence that the majority of subjects prefers receiving information sooner. This preference, however, is not uniform but depends on context. When the environment allows subjects to not focus attention on (negative) consumption events, later information becomes more attractive. We also identify an aversion towards piecemeal information. Variations in prior distributions do not seem to affect information preferences.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: CESifo Working Paper ; No. 6061

Classification and Topics

• Classification: Wirtschaft ; Design of Experiments: Laboratory, Individual ; Consumer Economics: Empirical Analysis ; Search; Learning; Information and Knowledge; Communication; Belief; Unawareness
• Subject: beliefs ; anticipatory utility ; news utility ; information preferences ; attention ; reference-dependent preferences ; experiments

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Falk, Armin ; Zimmermann, Florian
• Event: Veröffentlichung
• (who): Center for Economic Studies and ifo Institute (CESifo)
• (where): Munich
• (when): 2016

Further information

• Handle: http://hdl.handle.net/10419/147315
• Last update: 10.03.2025, 11:42 AM CET