EconPapers    
Economics at your fingertips  
 

All-pay auctions with endogenous bid timing: an experimental study

Tracy Liu ()

International Journal of Game Theory, 2018, vol. 47, issue 1, 247-271

Abstract: Abstract Using a controlled laboratory experiment, we examine individuals’ bid timing decisions in complete information all-pay auctions and find that homogeneous bidders are more likely to enter the early bidding stage under a favor-early tie-breaking rule. Furthermore, revenue in an endogenous-entry treatment, in which both sequential and simultaneous all-pay auctions exist, is either lower than or equal to that in an exogenous-entry treatment with only simultaneous all-pay auctions. Additionally, in simultaneous all-pay auctions, individuals do not always employ a mixed strategy as predicted by the risk-neutral model. Instead, our data is better rationalized by a risk- and loss-aversion model.

Keywords: All-pay auction; Bid timing; Experiment; Mixed-strategy Nash equilibrium; C7; C91 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://link.springer.com/10.1007/s00182-017-0586-6 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:jogath:v:47:y:2018:i:1:d:10.1007_s00182-017-0586-6

Ordering information: This journal article can be ordered from
http://www.springer. ... eory/journal/182/PS2

Access Statistics for this article

International Journal of Game Theory is currently edited by Shmuel Zamir, Vijay Krishna and Bernhard von Stengel

More articles in International Journal of Game Theory from Springer, Game Theory Society
Bibliographic data for series maintained by Sonal Shukla ().

 
Page updated 2019-10-17
Handle: RePEc:spr:jogath:v:47:y:2018:i:1:d:10.1007_s00182-017-0586-6