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Earned wealth, engaged bidders? Evidence from a second-price auction

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Author Info
Jacquemet, Nicolas
Joule, Robert-Vincent
Luchini, Stéphane
Shogren, Jason F.

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Abstract

This paper considers whether earned wealth affects bidding behavior in an induced-value second-price auction. We find people bid more sincerely in the auction with earned wealth given monetary incentives; earned wealth did not induce sincere bidding in hypothetical auctions.

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File URL: http://www.sciencedirect.com/science/article/B6V84-4WBC1K9-2/2/c52c6f5961b970677e56fee7eba168f2
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Publisher Info
Article provided by Elsevier in its journal Economics Letters.

Volume (Year): 105 (2009)
Issue (Month): 1 (October)
Pages: 36-38
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Handle: RePEc:eee:ecolet:v:105:y:2009:i:1:p:36-38

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Web page: http://www.elsevier.com/locate/ecolet

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Related research
Keywords: Auctions Demand revelation Experimental valuation Hypothetical bias Earned money;

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This page was last updated on 2009-11-7.

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