Mental Accounting and Framing Effect Calculator

Analyse framing effects and mental accounting by computing the certainty equivalent and preference reversal threshold in gain vs. loss framing of identical gambles, based on Thaler and Kahneman's prospect theory framework

Each component has a specific meaning:

• Thaler — The thaler recorded for the scenario being assessed.
• Kahneman's prospect theory framework — The kahneman's prospect theory framework recorded for the scenario being assessed.

Note: Interpret the mental accounting result against the thresholds and context described above.

Enter the Thaler, Kahneman's prospect theory framework for the scenario you are assessing. Analyse framing effects and mental accounting by computing the certainty equivalent and preference reversal threshold in gain vs. loss framing of identical gambles, based on Thaler and Kahneman's prospect theory framework. Use the mental accounting result to inform your calculation.