Let the sunshine in? The effects of luminance on economic preferences, choice consistency and dominance violations

Paul W. Glimcher, Agnieszka Tymula

Research output: Contribution to journalArticlepeer-review

Abstract

Weather, in particular the intensity and duration of sunshine (luminance), has been shown to significantly affect financial markets. Yet, because of the complexity of market interactions we do not know how human behavior is affected by luminance in a way that could inform theoretical choice models. In this paper, we use data from a field study using an incentive-compatible, decision task conducted daily over a period of two years and from the US Earth System Research Laboratory luminance sensor to investigate the impact of luminance on risk preferences, ambiguity preferences, choice consistency and dominance violations. We find that luminance levels affect all of these. Age and gender influence the strength of some of these effects.

Original languageEnglish (US)
Article numbere0181112
JournalPloS one
Volume12
Issue number8
DOIs
StatePublished - Aug 2017

ASJC Scopus subject areas

  • General Biochemistry, Genetics and Molecular Biology
  • General Agricultural and Biological Sciences
  • General

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