Template-Type: ReDIF-Paper 1.0
Author-Name: Pennings, J.M.E.
Author-Name-Last: Pennings
Author-Name: Smidts, A.
Author-Name-Last: Smidts
Author-Name-First: Ale
Title: The Shape of Utility Functions and Organizational Behavior
Abstract: Based on measurements with 332 owner-managers, the global shape of the utility function (i.e., S-shaped versus concave or convex over the total range of outcomes) appears to discriminate organizational behavior. Whereas the degree of risk aversion, based on the local shape of the utility function, may be important in explaining owner-manager's trading behavior, the global shape of the utility function appears to drive more structural organizational behavior.
Creation-Date: 2002-03-01
File-URL: https://repub.eur.nl/pub/173/erimrs20020301141115.pdf
File-Format: application/pdf
Series: RePEc:ems:eureri
Number: ERS-2002-18-MKT
Classification-JEL: C44, L29, M, M31
Keywords: organizational behavior, prospect theory, risk aversion, utility theory
Handle: RePEc:ems:eureri:173