Stiehler, Andreas - Max-Planck-Institut für Ökonomik, Max-Planck-Gesellschaft
In a cascade experiment subjects are confronted with artificial predecessors predicting in line with the BHW model (Bikhchandani, Hirshleifer and Welch, 1992). Using the BDM mechanism we study subjects' probability assignments based on price limits for participating in the prediction game. We...