Overbidding in auctions has been attributed to e.g. risk aversion, loser regret, level-k, and cursedness, relying on … psychological phenomenon that naturally applies to auctions. First, I show that type projection generates the main behavioral … varying identifying assumptions. I argue that "type projection" organizes these findings and largely captures observed …

Overbidding in auctions has been attributed to e.g. risk aversion, loser regret, level-k, and cursedness, relying on … psychological phenomenon that naturally applies to auctions. First, I show that type projection generates the main behavioral … varying identifying assumptions. I argue that \"type projection\'\" organizes these findings and largely captures observed …

second-price auctions. Overbidding is a robust finding in second- price auctions, and spite among bidders has been advanced … bias upwards the bidding behavior in existing experimental auctions. We derive the equilibrium bidding function in a model … where bidders have preferences regarding both, the payoffs of other bidders and the seller's revenue. Overbidding is optimal …

behavior in games? I analyze auctions and distribution games. In auctions, projection implies an increased sense of competition …, which induces overbidding in all (first-price) auctions. In addition, it biases the perceived value distribution, which … induces cursed bidding in common value auctions. Thus, projection induces a hitherto neglected bias in bidding. It is novel in …

overbidding in auctions. As a workhorse we use the second-price all-pay and the first-price winner-pay auction. Both risk and …In this paper we use an experiment to compare a theory of risk aversion and a theory of spite as an explanation for … spite can be used to rationalize deviations from risk neutral equilibrium bids in auctions. We exploit that equilibrium …

We examine bidding behavior in first-price sealed-bid and Dutch auctions, which are strategically equivalent under …