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Searching for a better deal - on the influence of group decision making, time pressure and gender in a search experiment

Author

Listed:
  • Ibanez, Marcela

    () (Department of Economics, School of Business, Economics and Law, Göteborg University)

  • Czermak, Simon

    () (University of Innsbruck)

  • Sutter, Matthias

    () (Department of Economics, School of Business, Economics and Law, Göteborg University)

Abstract

We study behavior in a search experiment where sellers receive randomized bids from a computer. At any time, sellers can accept the highest standing bid or ask for another bid at positive costs. We find that sellers stop searching earlier than theoretically optimal. Inducing a mild form of time pressure strengthens this finding in the early periods. There are marked gender differences. Men search significantly shorter than women. If subjects search in groups of two subjects, there is no difference to individual search, but teams of two women search much longer than men and recall more frequently.

Suggested Citation

  • Ibanez, Marcela & Czermak, Simon & Sutter, Matthias, 2008. "Searching for a better deal - on the influence of group decision making, time pressure and gender in a search experiment," Working Papers in Economics 296, University of Gothenburg, Department of Economics.
  • Handle: RePEc:hhs:gunwpe:0296
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    File URL: http://hdl.handle.net/2077/9922
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    References listed on IDEAS

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    1. Martin G. Kocher & Matthias Sutter, 2005. "The Decision Maker Matters: Individual Versus Group Behaviour in Experimental Beauty-Contest Games," Economic Journal, Royal Economic Society, vol. 115(500), pages 200-223, January.
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    Cited by:

    1. Martin G. Kocher & Julius Pahlke & Stefan T. Trautmann, 2013. "Tempus Fugit : Time Pressure in Risky Decisions," Management Science, INFORMS, pages 2380-2391.

    More about this item

    Keywords

    Search experiment; Time; Group decision; Gender differences;

    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior
    • C92 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Group Behavior
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness

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