We replicate three tasks for which Gneezy, List and Wu (Q. J. Econ. 121(4): 2006) document the so-called uncertainty effect: People value a binary lottery over non-monetary outcomes less than other people value the lottery's worse outcome. While the authors implement verbal lottery descriptions, we use a physical lottery format and also provide subjects with complete information about the goods they are to value. We observe for all three pricing tasks that subjects' willingness to pay for the lottery is significantly higher than other subjects' willingness to pay for the lottery's worse outcome.

ISBN 978-80-7343-330-7 (Univerzita Karlova. Centrum pro ekonomický výzkum a doktorské studium) ISBN 978-80-7344-322-1 (Akademie věd České republiky. Národohospodářský ústav) Comparing Decisions under Compound Risk and Ambiguity: The Importance of Cognitive Skills