Bos, Wouter van den; Li, Jian; Lau, Tatiana; Maskin, Eric; … - In: Judgment and Decision Making 3 (2008) 7, pp. 483-492
Auctions, normally considered as devices facilitating trade, also provide a way to probe mechanisms governing one's valuation of some good or action. One of the most intriguing phenomena in auction behavior is the winner's curse --- the strong tendency of participants to bid more than rational...