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in an experiment. Our data show that indeed, strengthening weaker contestants through tie-breaks and bid …
Persistent link: https://www.econbiz.de/10011473683
In this note we shall discuss a concept that - despite its prominence in both Hume (1739) and Smith (1759), its obvious relevance for social behavior, and its not so infrequent use in colloquial language - has never gained a foothold in economic theory: the concept of empathy. Specifically, we...
Persistent link: https://www.econbiz.de/10010233986
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ethically. Participants state their willingness-to-pay for both a fair trade and a conventional chocolate bar in private or … publicly. A standard model of social image predicts that all participants increase their fair trade premium when facing an … who preferred a conventional chocolate bar over a fair trade one in a pre-lab choice. For those who chose the fair trade …
Persistent link: https://www.econbiz.de/10011895829
all-pay sealed-bid auction in a laboratory experiment where bidders can signal information through their bidding behaviour …
Persistent link: https://www.econbiz.de/10012500904
strategies can be captured by maximin preferences and indirect reciprocity in Charness and Rabin's (2002) reciprocal fairness …' fairness concerns. Abolishing a minimum wage crowds in consumer fairness concerns, but crowding in is not sufficient to avoid …
Persistent link: https://www.econbiz.de/10012236843
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Anchoring is one of the most studied and robust behavioral biases, but there is little knowledge about its persistence in strategic settings. This article studies the role of anchoring bias in private-value auctions. We test experimentally two different anchor types. The announcement of a random...
Persistent link: https://www.econbiz.de/10012138992
In many trade environments - such as online markets - buyers fully learn their valuation for goods only after … set low prices. For the optimal information signal, trade is efficient, and the seller only extracts the static monopoly …
Persistent link: https://www.econbiz.de/10011762788
general revenue ranking. We highlight a trade-off between maximizing revenue derived from signaling, and extracting …
Persistent link: https://www.econbiz.de/10012420461