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Earned wealth, engaged bidders? Evidence from a second-price auction.
Umeå University, Faculty of Social Sciences, Umeå School of Business and Economics (USBE), Economics. Department of Economics and Finance, University of Wyoming, Laramie, WY 82071-3985, United States.
2009 (English)In: Economics Letters, ISSN 0165-1765, E-ISSN 1873-7374, Vol. 105, no 1, p. 36-38Article in journal (Refereed) Published
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Abstract [en]

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.

Place, publisher, year, edition, pages
Lausanne: Elsevier, 2009. Vol. 105, no 1, p. 36-38
Keywords [en]
Auctions, Demand revelation, Experimental valuation, Hypothetical bias, Earned money
National Category
Economics and Business
Identifiers
URN: urn:nbn:se:umu:diva-115966DOI: 10.1016/j.econlet.2009.05.010ISI: 000273062200010OAI: oai:DiVA.org:umu-115966DiVA, id: diva2:907536
Available from: 2016-02-29 Created: 2016-02-08 Last updated: 2018-03-15Bibliographically approved

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