Feb 14, 2015

In Press: Are Longshots only for Losers?

Craig McKenzie, Shlomi Sher, Charlette Lin, Michael Liersch, Anthony Rawstron, and I have a new ARTICLE IN PRESS at the Journal of Behavioral Decision Making. Here's a short abstract:

Betting on longshots increases in the last race of a day of horse racing. Previous models have assumed that the effect is driven by bettors who have lost money and are trying to recoup their losses. To test this assumption, three experiments simulated a day at the races. The results showed a clear longshot bias in the last round, regardless of whether, and how many, points were gained or lost in previous rounds. Winning or losing, bettors prefer to “go out with a bang” at the end of a series of gambles.