The Reference Price Is Not The Limit: Analysis Of Consumer Valuations In Second-price Vickrey Auction
Ramona Teuber and
Jutta Roosen ()
No 260882, 2017 International Congress, August 28-September 1, 2017, Parma, Italy from European Association of Agricultural Economists
We assess the role of perceived reference price (PRP) in consumers’ valuations for four different bread types in secondprice Vickrey auctions taking into account the presence of market substitutes. A possible censoring effect of perceived reference price is modeled using a random effects Tobit model with lower and upper thresholds. The estimates are compared to a random effects Tobit model censored at zero only. In contrast to the existing literature, our results indicate that including perceived reference price in upper threshold does not improve the model fit and thus question the role of PRP as an upper limit for auction bids.
Keywords: Consumer/Household Economics; Demand and Price Analysis (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-des
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
http://ageconsearch.umn.edu/record/260882/files/Th ... ickrey%20Auction.pdf (application/pdf)
http://ageconsearch.umn.edu/record/260882/files/Th ... n.pdf?subformat=pdfa (application/pdf)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:ags:eaae17:260882
Access Statistics for this paper
More papers in 2017 International Congress, August 28-September 1, 2017, Parma, Italy from European Association of Agricultural Economists Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().