Estimate bias and “no-sales” are investigated in the context of Latin American Art auctions conducted in New York … between 1977 and 1996. We find that, using a new method for calculating bias, both Sotheby's and Christie's overestimated art …

direction of the implied bias. Two results arise when the estimation accounts for the possibility of heterogeneity. First …, marginal costs become substantially more important in affecting inflation dynamics (i.e. heterogeneity induces a negative bias … an aggregation bias in any disaggregated data. …