In this case, in order to verify the theories discussed above, five experiments were performed on 72 corporate financial managers with significant experience in the field. The following experiments were conducted: framing, profits and losses, profits and expenditures, revenues and costs, profits and costs.

The main purpose of all these experiments was to analyze these managers' risk taking behavior when dealing with different forms of financial data. The experiments consisted in choosing between two competing capital investment alternatives. One of the alternatives represented a risky option, while the other alternative represented a certain or a less risky option. The managers subjected to the experiment were supposed to select one of the alternatives and to rate it on a five point preference scale.

The first experiment was the Framing, and was based on the classic lives saved, lives lost scenario, proposed by Tversky and Kahneman. In this experiment, one group of...
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