Anchoring or Loss Aversion? Empirical Evidence from Art Auctions
Kathryn Graddy (),
Mike Moses and
Rachel Pownall ()
Additional contact information
Mike Moses: Beautiful Asset Advisors LLC
No AWP-04-2014, ACEI Working Paper Series from Association for Cultural Economics International
We find evidence for the behavioral biases of anchoring and loss aversion. We find that anchoring is more important for items that are resold quickly, and we find that the effect of loss aversion increases with the time that a painting is held. The evidence in favor of anchoring and loss aversion with this large dataset validates previous results and adds to the empirical evidence a finding of increasing loss aversion with the length a painting is held. We do not find evidence that investors can take advantage of these behavioral biases.
Keywords: D03; D44; Z11 (search for similar items in EconPapers)
Pages: 37 pages
Date: 2014-06, Revised 2014-06
New Economics Papers: this item is included in nep-cbe, nep-cul and nep-upt
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3) Track citations by RSS feed
Downloads: (external link)
Working Paper: Anchoring or Loss Aversion? Empirical Evidence from Art Auctions (2014)
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:cue:wpaper:awp-04-2014
Access Statistics for this paper
More papers in ACEI Working Paper Series from Association for Cultural Economics International Contact information at EDIRC.
Bibliographic data for series maintained by Juan Prieto-Rodriguez ().