We investigate experimentally whether emotions affect bidding behavior in a firstprice auction. To induce emotions, we … confront subjects after a first auction series with apositive or negative random economic shock. We then explore the relation … between emotions andbidding behavior in a second auction series. Our main results are: (i) the economic shock has asubstantial …

Overbidding in second-price auctions (SPAs) has been shown to be persistent and associated with cognitive ability. We … study experimentally to what extent cross-game learning can reduce overbidding in SPAs, taking into account cognitive skills …. Employing an order-balanced design, we use first-price auctions (FPAs) to expose participants to an auction format in which …

Overbidding in sealed-bid second-price auctions (SPAs) has been shown to be persistent and associated with cognitive … ability. We study experimentally to what extent cross-game learning can reduce overbidding in SPAs, taking into account … cognitive skills. Employing an order-balanced design, we use first-price auctions (FPAs) to expose participants to an auction …

auction with an additional buyer is conducted. The theoretical model predicts that with risk neutral agents all sales take … place in the auction rendering the negotiation prior to the auction obsolete. An experimental test of the model provides …