An empirical investigation of rewards’ effect on experimental auctions outcomes

Riccardo Vecchio and Eugenio Pomarici

Applied Economics Letters, 2013, vol. 20, issue 14, 1298-1300

Abstract: We examine the effect of earned participation rewards on willingness to pay (WTP) bids in experimental auctions. Our results show that when subjects are provided with a fixed reward, they bid more than those who had to earn their reward.

Date: 2013
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DOI: 10.1080/13504851.2013.799751

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