Varieties of Risk Preference Elicitation

We explore risk preference elicitation via direct choice over lotteries. Our choice tasks differ incrementally, e.g., from choosing between two lotteries to selecting a portfolio from a continuous set of bundled Arrow securities, and from text to spatial presentation. Each subject completes multiple instances of five different tasks, and responses for each task are summarized in parametric (CRRA) and non-parametric (normalized risk premium) measures of risk preference. Variation in task attributes explains much of the observed wide variation in elicited preferences and in correlations across task pairs.