An experimental subject has reference-dependent preferences over mugs and money. Let con- sumption in mugs and money be c1 and c2, respectively, and let the reference point in mugs and money be 1'1 and r2, respectively. Then, the person's utility is given by \"(361 371) + \"(02 7'2): where u(m) = a: for a: Z 0, and u(a:) = 3:1: for a: