Affective reactions influence investment decisions: evidence from a laboratory experiment with taxation
We experimentally investigate the effect of taxation of gains and losses on investment behavior. Based on the insights of economic research and psychological concepts, we expect subjects to react to taxation with behavioral and affective changes. Our main results are threefold: first, we show that t...
Gespeichert in:
| Veröffentlicht in: | Zeitschrift für Betriebswirtschaft 2017-08, Vol.87 (6), p.779-808 |
|---|---|
| Hauptverfasser: | , , , |
| Format: | Artikel |
| Sprache: | eng |
| Schlagworte: | |
| Online-Zugang: | Volltext |
| Tags: |
Tag hinzufügen
Keine Tags, Fügen Sie den ersten Tag hinzu!
|
| container_end_page | 808 |
|---|---|
| container_issue | 6 |
| container_start_page | 779 |
| container_title | Zeitschrift für Betriebswirtschaft |
| container_volume | 87 |
| creator | Fochmann, Martin Hewig, Johannes Kiesewetter, Dirk Schüßler, Katharina |
| description | We experimentally investigate the effect of taxation of gains and losses on investment behavior. Based on the insights of economic research and psychological concepts, we expect subjects to react to taxation with behavioral and affective changes. Our main results are threefold: first, we show that taxation on gains and the possibility to deduct losses bias investment behavior, but in different directions. Since net payoffs are identical across all tax scenarios and therefore the same investment behavior is to be expected, these differences are in contrast to what a standard theory would predict. Second, we observe that different tax regulations have different effects on the affective and cognitive perception of our subjects. Third, with respect to possible connections of the affective and cognitive ratings, tax regulations, and investment decisions, we are able to show that arousal and risk perception fail to influence the decision making of participants, while there is a highly significant influence of valence perception on choice patterns. |
| doi_str_mv | 10.1007/s11573-016-0838-0 |
| format | Article |
| fullrecord | <record><control><sourceid>proquest_cross</sourceid><recordid>TN_cdi_proquest_journals_2124104932</recordid><sourceformat>XML</sourceformat><sourcesystem>PC</sourcesystem><sourcerecordid>2124104932</sourcerecordid><originalsourceid>FETCH-LOGICAL-c3020-a66de442fe383cdd3bed375ae9ac43696a30a06f415b36c08bffd37f2bf679b3</originalsourceid><addsrcrecordid>eNp1UMtOwzAQtBBIlMIHcLPE2bB-xEm4VRUvqRKX3i3HWZdUbVLstJS_x2mQOHHakeaxoyHklsM9B8gfIudZLhlwzaCQBYMzMuGF5qwoRXFOJgBKMSFzcUmuYlwDZEKIckJWM-_R9c0BaUCbQNdG2rR-s8fWYUIHjP0W257W6Jo40I8UD019on3ottTSja26YPsufFM87jA0J8NX03_Q3h7tEHpNLrzdRLz5vVOyfH5azl_Z4v3lbT5bMCdBALNa16iU8CgL6epaVljLPLNYWqekLrWVYEF7xbNKagdF5X0SeFF5nZeVnJK7MXYXus99qm7W3T606aMRXCgOqpQiqfiocqGLMaA3u9TZhm_DwQxzmnFOk-Y0w5wGkkeMnpi07QrDX_L_ph-iEXpX</addsrcrecordid><sourcetype>Aggregation Database</sourcetype><iscdi>true</iscdi><recordtype>article</recordtype><pqid>2124104932</pqid></control><display><type>article</type><title>Affective reactions influence investment decisions: evidence from a laboratory experiment with taxation</title><source>Springer Nature - Complete Springer Journals</source><creator>Fochmann, Martin ; Hewig, Johannes ; Kiesewetter, Dirk ; Schüßler, Katharina</creator><creatorcontrib>Fochmann, Martin ; Hewig, Johannes ; Kiesewetter, Dirk ; Schüßler, Katharina</creatorcontrib><description>We experimentally investigate the effect of taxation of gains and losses on investment behavior. Based on the insights of economic research and psychological concepts, we expect subjects to react to taxation with behavioral and affective changes. Our main results are threefold: first, we show that taxation on gains and the possibility to deduct losses bias investment behavior, but in different directions. Since net payoffs are identical across all tax scenarios and therefore the same investment behavior is to be expected, these differences are in contrast to what a standard theory would predict. Second, we observe that different tax regulations have different effects on the affective and cognitive perception of our subjects. Third, with respect to possible connections of the affective and cognitive ratings, tax regulations, and investment decisions, we are able to show that arousal and risk perception fail to influence the decision making of participants, while there is a highly significant influence of valence perception on choice patterns.</description><identifier>ISSN: 0044-2372</identifier><identifier>EISSN: 1861-8928</identifier><identifier>DOI: 10.1007/s11573-016-0838-0</identifier><language>eng</language><publisher>Berlin/Heidelberg: Springer Berlin Heidelberg</publisher><subject>Accounting/Auditing ; Business and Management ; Business Taxation/Tax Law ; Human Resource Management ; Operations Management ; Organization ; Original Paper ; Tax regulations ; Taxation</subject><ispartof>Zeitschrift für Betriebswirtschaft, 2017-08, Vol.87 (6), p.779-808</ispartof><rights>Springer-Verlag Berlin Heidelberg 2016</rights><rights>Journal of Business Economics is a copyright of Springer, (2016). All Rights Reserved.</rights><lds50>peer_reviewed</lds50><woscitedreferencessubscribed>false</woscitedreferencessubscribed><citedby>FETCH-LOGICAL-c3020-a66de442fe383cdd3bed375ae9ac43696a30a06f415b36c08bffd37f2bf679b3</citedby><cites>FETCH-LOGICAL-c3020-a66de442fe383cdd3bed375ae9ac43696a30a06f415b36c08bffd37f2bf679b3</cites></display><links><openurl>$$Topenurl_article</openurl><openurlfulltext>$$Topenurlfull_article</openurlfulltext><thumbnail>$$Tsyndetics_thumb_exl</thumbnail><linktopdf>$$Uhttps://link.springer.com/content/pdf/10.1007/s11573-016-0838-0$$EPDF$$P50$$Gspringer$$H</linktopdf><linktohtml>$$Uhttps://link.springer.com/10.1007/s11573-016-0838-0$$EHTML$$P50$$Gspringer$$H</linktohtml><link.rule.ids>314,776,780,27901,27902,41464,42533,51294</link.rule.ids></links><search><creatorcontrib>Fochmann, Martin</creatorcontrib><creatorcontrib>Hewig, Johannes</creatorcontrib><creatorcontrib>Kiesewetter, Dirk</creatorcontrib><creatorcontrib>Schüßler, Katharina</creatorcontrib><title>Affective reactions influence investment decisions: evidence from a laboratory experiment with taxation</title><title>Zeitschrift für Betriebswirtschaft</title><addtitle>J Bus Econ</addtitle><description>We experimentally investigate the effect of taxation of gains and losses on investment behavior. Based on the insights of economic research and psychological concepts, we expect subjects to react to taxation with behavioral and affective changes. Our main results are threefold: first, we show that taxation on gains and the possibility to deduct losses bias investment behavior, but in different directions. Since net payoffs are identical across all tax scenarios and therefore the same investment behavior is to be expected, these differences are in contrast to what a standard theory would predict. Second, we observe that different tax regulations have different effects on the affective and cognitive perception of our subjects. Third, with respect to possible connections of the affective and cognitive ratings, tax regulations, and investment decisions, we are able to show that arousal and risk perception fail to influence the decision making of participants, while there is a highly significant influence of valence perception on choice patterns.</description><subject>Accounting/Auditing</subject><subject>Business and Management</subject><subject>Business Taxation/Tax Law</subject><subject>Human Resource Management</subject><subject>Operations Management</subject><subject>Organization</subject><subject>Original Paper</subject><subject>Tax regulations</subject><subject>Taxation</subject><issn>0044-2372</issn><issn>1861-8928</issn><fulltext>true</fulltext><rsrctype>article</rsrctype><creationdate>2017</creationdate><recordtype>article</recordtype><sourceid>BENPR</sourceid><recordid>eNp1UMtOwzAQtBBIlMIHcLPE2bB-xEm4VRUvqRKX3i3HWZdUbVLstJS_x2mQOHHakeaxoyHklsM9B8gfIudZLhlwzaCQBYMzMuGF5qwoRXFOJgBKMSFzcUmuYlwDZEKIckJWM-_R9c0BaUCbQNdG2rR-s8fWYUIHjP0W257W6Jo40I8UD019on3ottTSja26YPsufFM87jA0J8NX03_Q3h7tEHpNLrzdRLz5vVOyfH5azl_Z4v3lbT5bMCdBALNa16iU8CgL6epaVljLPLNYWqekLrWVYEF7xbNKagdF5X0SeFF5nZeVnJK7MXYXus99qm7W3T606aMRXCgOqpQiqfiocqGLMaA3u9TZhm_DwQxzmnFOk-Y0w5wGkkeMnpi07QrDX_L_ph-iEXpX</recordid><startdate>20170801</startdate><enddate>20170801</enddate><creator>Fochmann, Martin</creator><creator>Hewig, Johannes</creator><creator>Kiesewetter, Dirk</creator><creator>Schüßler, Katharina</creator><general>Springer Berlin Heidelberg</general><general>Springer Nature B.V</general><scope>AAYXX</scope><scope>CITATION</scope><scope>3V.</scope><scope>7WY</scope><scope>7WZ</scope><scope>7XB</scope><scope>87Z</scope><scope>8FK</scope><scope>8FL</scope><scope>ABUWG</scope><scope>AFKRA</scope><scope>BENPR</scope><scope>BEZIV</scope><scope>CCPQU</scope><scope>DWQXO</scope><scope>FRNLG</scope><scope>F~G</scope><scope>K60</scope><scope>K6~</scope><scope>L.-</scope><scope>M0C</scope><scope>PQBIZ</scope><scope>PQBZA</scope><scope>PQEST</scope><scope>PQQKQ</scope><scope>PQUKI</scope><scope>Q9U</scope></search><sort><creationdate>20170801</creationdate><title>Affective reactions influence investment decisions: evidence from a laboratory experiment with taxation</title><author>Fochmann, Martin ; Hewig, Johannes ; Kiesewetter, Dirk ; Schüßler, Katharina</author></sort><facets><frbrtype>5</frbrtype><frbrgroupid>cdi_FETCH-LOGICAL-c3020-a66de442fe383cdd3bed375ae9ac43696a30a06f415b36c08bffd37f2bf679b3</frbrgroupid><rsrctype>articles</rsrctype><prefilter>articles</prefilter><language>eng</language><creationdate>2017</creationdate><topic>Accounting/Auditing</topic><topic>Business and Management</topic><topic>Business Taxation/Tax Law</topic><topic>Human Resource Management</topic><topic>Operations Management</topic><topic>Organization</topic><topic>Original Paper</topic><topic>Tax regulations</topic><topic>Taxation</topic><toplevel>peer_reviewed</toplevel><toplevel>online_resources</toplevel><creatorcontrib>Fochmann, Martin</creatorcontrib><creatorcontrib>Hewig, Johannes</creatorcontrib><creatorcontrib>Kiesewetter, Dirk</creatorcontrib><creatorcontrib>Schüßler, Katharina</creatorcontrib><collection>CrossRef</collection><collection>ProQuest Central (Corporate)</collection><collection>ABI/INFORM Collection</collection><collection>ABI/INFORM Global (PDF only)</collection><collection>ProQuest Central (purchase pre-March 2016)</collection><collection>ABI/INFORM Global (Alumni Edition)</collection><collection>ProQuest Central (Alumni) (purchase pre-March 2016)</collection><collection>ABI/INFORM Collection (Alumni Edition)</collection><collection>ProQuest Central (Alumni Edition)</collection><collection>ProQuest Central UK/Ireland</collection><collection>ProQuest Central</collection><collection>Business Premium Collection</collection><collection>ProQuest One Community College</collection><collection>ProQuest Central Korea</collection><collection>Business Premium Collection (Alumni)</collection><collection>ABI/INFORM Global (Corporate)</collection><collection>ProQuest Business Collection (Alumni Edition)</collection><collection>ProQuest Business Collection</collection><collection>ABI/INFORM Professional Advanced</collection><collection>ABI/INFORM Global</collection><collection>ProQuest One Business</collection><collection>ProQuest One Business (Alumni)</collection><collection>ProQuest One Academic Eastern Edition (DO NOT USE)</collection><collection>ProQuest One Academic</collection><collection>ProQuest One Academic UKI Edition</collection><collection>ProQuest Central Basic</collection><jtitle>Zeitschrift für Betriebswirtschaft</jtitle></facets><delivery><delcategory>Remote Search Resource</delcategory><fulltext>fulltext</fulltext></delivery><addata><au>Fochmann, Martin</au><au>Hewig, Johannes</au><au>Kiesewetter, Dirk</au><au>Schüßler, Katharina</au><format>journal</format><genre>article</genre><ristype>JOUR</ristype><atitle>Affective reactions influence investment decisions: evidence from a laboratory experiment with taxation</atitle><jtitle>Zeitschrift für Betriebswirtschaft</jtitle><stitle>J Bus Econ</stitle><date>2017-08-01</date><risdate>2017</risdate><volume>87</volume><issue>6</issue><spage>779</spage><epage>808</epage><pages>779-808</pages><issn>0044-2372</issn><eissn>1861-8928</eissn><abstract>We experimentally investigate the effect of taxation of gains and losses on investment behavior. Based on the insights of economic research and psychological concepts, we expect subjects to react to taxation with behavioral and affective changes. Our main results are threefold: first, we show that taxation on gains and the possibility to deduct losses bias investment behavior, but in different directions. Since net payoffs are identical across all tax scenarios and therefore the same investment behavior is to be expected, these differences are in contrast to what a standard theory would predict. Second, we observe that different tax regulations have different effects on the affective and cognitive perception of our subjects. Third, with respect to possible connections of the affective and cognitive ratings, tax regulations, and investment decisions, we are able to show that arousal and risk perception fail to influence the decision making of participants, while there is a highly significant influence of valence perception on choice patterns.</abstract><cop>Berlin/Heidelberg</cop><pub>Springer Berlin Heidelberg</pub><doi>10.1007/s11573-016-0838-0</doi><tpages>30</tpages></addata></record> |
| fulltext | fulltext |
| identifier | ISSN: 0044-2372 |
| ispartof | Zeitschrift für Betriebswirtschaft, 2017-08, Vol.87 (6), p.779-808 |
| issn | 0044-2372 1861-8928 |
| language | eng |
| recordid | cdi_proquest_journals_2124104932 |
| source | Springer Nature - Complete Springer Journals |
| subjects | Accounting/Auditing Business and Management Business Taxation/Tax Law Human Resource Management Operations Management Organization Original Paper Tax regulations Taxation |
| title | Affective reactions influence investment decisions: evidence from a laboratory experiment with taxation |
| url | https://sfx.bib-bvb.de/sfx_tum?ctx_ver=Z39.88-2004&ctx_enc=info:ofi/enc:UTF-8&ctx_tim=2025-02-12T20%3A53%3A06IST&url_ver=Z39.88-2004&url_ctx_fmt=infofi/fmt:kev:mtx:ctx&rfr_id=info:sid/primo.exlibrisgroup.com:primo3-Article-proquest_cross&rft_val_fmt=info:ofi/fmt:kev:mtx:journal&rft.genre=article&rft.atitle=Affective%20reactions%20influence%20investment%20decisions:%20evidence%20from%20a%20laboratory%20experiment%20with%20taxation&rft.jtitle=Zeitschrift%20f%C3%BCr%20Betriebswirtschaft&rft.au=Fochmann,%20Martin&rft.date=2017-08-01&rft.volume=87&rft.issue=6&rft.spage=779&rft.epage=808&rft.pages=779-808&rft.issn=0044-2372&rft.eissn=1861-8928&rft_id=info:doi/10.1007/s11573-016-0838-0&rft_dat=%3Cproquest_cross%3E2124104932%3C/proquest_cross%3E%3Curl%3E%3C/url%3E&disable_directlink=true&sfx.directlink=off&sfx.report_link=0&rft_id=info:oai/&rft_pqid=2124104932&rft_id=info:pmid/&rfr_iscdi=true |