Does winning an experimental auction change people's behavior? An application to e-cigarettes

Richard J. O'Connor, Matthew C. Rousu, Jay Corrigan () and Maansi Bansal Travers

Journal of Economic Behavior & Organization, 2018, vol. 154, issue C, 281-285

Abstract: Experimental auctions allow researchers to estimate demand for products like e-cigarettes in a non-hypothetical environment where participants face real and immediate consequences for their bids. However, because auction winners actually purchase the product they bid on, participants may be introduced to a product they otherwise would not have discovered. Based on an experimental auction where 432 participants bid to buy e-cigarettes, we found that auction winners are significantly more likely to be using e-cigarettes two weeks, six weeks, and six months after the study but are no less likely to be daily cigarette smokers. This result holds even after controlling for prior e-cigarette use, strength of participants’ initial demand for e-cigarettes, and demographic characteristics.

Keywords: Experimental auctions; E-cigarettes; Cigarettes (search for similar items in EconPapers)
JEL-codes: C90 (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:eee:jeborg:v:154:y:2018:i:c:p:281-285

DOI: 10.1016/j.jebo.2018.08.013

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