We present results from a series of experiments that allow us to measure overbidding and, in particular, underbidding … in first-price auctions. We investigate how the amount of underbidding depends on seemingly innocent parameters of the …

second-price auctions. Overbidding is a robust finding in second- price auctions, and spite among bidders has been advanced … as an explanation. If spite extends to the seller, then the absence of human sellers who receive the auction revenue may … where bidders have preferences regarding both, the payoffs of other bidders and the seller's revenue. Overbidding is optimal …

We conduct a laboratory experiment where groups of 4 subjects constrained to obtain at most one good each, sequentially … bid for three goods in first and second price auctions. Subjects learn at the beginning of each auction their valuation … for the good and exit the auction once they have obtained one good. We show that, contrary to equilibrium predictions …