Original title: Does anticipated regret really matter? Revisiting the role of feedback in auction bidding
Authors: Katuščák, Peter ; Michelucci, Fabio ; Zajíček, M.
Document type: Research reports
Year: 2013
Language: eng
Series: CERGE-EI Research Seminar Series, volume: May 6, 2013
Abstract: Does the type of post-auction feedback affect bidding behavior in the first price auction? Filiz-Ozbay and Ozbay (2007) find that such manipulation can increase bids in a one-shot auction. They explain their finding by anticipated regret combined with the assumption that feedback directly affects salience of regret relative to material payoff. We revisit this important market design issue using four different auction protocols and a large sample of subjects. We do not find any systematic effect of feedback on the average bid/value ratio. This evidence contradicts a presence of anticipated regret or its manipulability by feedback in one-shot auctions.
Keywords: auction bidding; feedback; regret
Project no.: GAP402/11/1726 (CEP)
Funding provider: GA ČR

Institution: Economics Institute AS ČR (web)
Document availability information: Fulltext is available at external website.
External URL: http://iweb.cerge-ei.cz/pdf/events/papers/130506_t.pdf
Original record: http://hdl.handle.net/11104/0222548

Permalink: http://www.nusl.cz/ntk/nusl-155635


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