# Eliciting ambiguity with mixing bets

## TL;DR

This paper introduces a method to reveal ambiguity attitudes through mixing bets, demonstrating its effectiveness across various preference models and showing real-world relevance with experimental evidence.

## Contribution

It proposes a novel approach to elicit ambiguity preferences using mixing bets and discusses its validity across multiple preference classes.

## Key findings

- Participants perceive significant ambiguity in stock and social actions, comparable to the Ellsberg urn.
- Mixing bets effectively reveal ambiguity attitudes across different preference models.
- Experimental results highlight the importance of ambiguity in real-world decision-making.

## Abstract

Preferences for mixing can reveal ambiguity perception and attitude on a single event. The validity of the approach is discussed for multiple preference classes including maxmin, maxmax, variational, and smooth second-order preferences. An experimental implementation suggests that participants perceive almost as much ambiguity for the stock index and actions of other participants as for the Ellsberg urn, indicating the importance of ambiguity in real-world decision-making.