Exploring the Influence of Personality on Bias Propensity: A Pilot Experiment

Abstract

This dissertation explores the influence of individuals' psychological characteristics on their economically irrational decision-making through a pilot experiment. The research aims at addressing the question by designing an experiment. Firstly, the study provides a contextualization of behavioral economics and highlights the key features of economic behavior. Additionally, it examines the impact of personal traits on investors and delves into the major cognitive biases that will be analyzed in the experiment. Subsequently, a pilot experiment is conducted, followed by an extensive analysis of the results obtained and the limitations encountered during the implementation. The findings shed light on the relationship between psychological characteristics and irrational economic decision-making, contributing to a deeper understanding of this field. The experiment serves as a valuable stepping stone for future research in this area.