in strategic settings. This article studies the role of anchoring bias in private-value auctions. We test experimentally … biased beliefs. In Dutch auctions, the effect of a starting price, is negative. We demonstrate that the long …

Overbidding in auctions has been attributed to e.g. risk aversion, loser regret, level-k, and cursedness, relying on … psychological phenomenon that naturally applies to auctions. First, I show that type projection generates the main behavioral … phenomena observed in auctions, including increased sense of competition ("loser regret") and broken Bayesian updating …

We study optimal auctions in a symmetric private values setting, where bidders' care about winning the object and a … auction makes participation observable via an entry fee. With convex signaling concerns, optimal auctions are fully …