This paper compares the equilibrium outcomes from a recently developed model of procurement competition with differentiated products to those from two analytically tractable models that might naturally be considered as suitable proxies. The models differ in what sellers know about the buyer's...

Markets are often viewed as a tool for aggregating disparate private knowledge, a stance supported by past laboratory experiments. However, traders' acquisition cost of information has typically been ignored. Results from a laboratory experiment involving six treatments varying the cost of...

The efficient market hypothesis predicts that asset prices reflect all available information. Recent experimental work found the rational expectation model to outperform the prior information model in contingent claim markets when traders hold homogeneous values, despite the no trade...