Domain of Specific Dispositions and Effects of Participatory Budgeting


  • Ni Made Dwi Ratnadi, I. D. G. Dharma Saputra, Eka Putri Wulandari


The problems examined in this study are jointly testing a specific and dispositional domain toward the risk as variables that affect participative budgeting. The Research uses design of two experiments 2x2 factorial to examinethe differences in risk preferences (the first factor), a specific domain (second factor) and gender (men) as the third factor and gender (femen) as the fourth factor in participative budgeting. The combination between subjectsexperimental treatments resulting the 8 groups of subject. There are differences in specific domain differences by selecting tight budget when performance is below average and the safe budget when above average performance.There are differences in risk preferences when deciding on a specific domain on participative budgeting. There are gender differences between male and female when selecting risk preferences (dispositional) on participative budgeting. Prospect theory on the one hand builds risk preferences as specific contingencydomain with the other theories that build dispositional risk preferences. The Research procedures and data collection adapts the research of Kim (1992), entitled Risk Preferences in Participative Budgeting which performs his experiments at Dongguk University (Korea).