Sense of Control Affects Investment Behavior Volume 4 Jena Economic Research Papers 2010-01-20 2010 2007 2010-004 Preference for control sense of control risk attitudes illusion of control source preference portfolio choice behavioral finance comparative mindset non-comparative mindset Preference for control affects investment behavior. Participants of laboratory experiments invest different amount of money in a risky asset when face with two different methods of control which have identical payoff structure and probability distribution, but provide different sense of control. Preference for controlling and not controlling are both observed. Participants increase their investment when their preferred method of control is used. Participants who prefer to control more reduce their investment more strongly when face with less control. Preference for control has larger effect on investment behavior when participants are induced to have a comparative mindset rather than non-comparative mindset. jportal_jpjournal_00000016 2010-01-20T07:20:37.248Z 2010-12-17T11:54:15.179Z