Endowment Effects in Contests
Authors
Published
Economics Letters, vol.
111, pp.
217-219,
2011
Website
http://
ideas.repec.org/a/eee/ecolet/v111y2011i3p217-219.html
Abstract
We experimentally study overbidding in contests and find that overbidding is significantly higher when subjects are given a large per-experiment endowment rather than when the endowment is given per-period. Risk-aversion and non-monetary utility of winning can partially explain our findings.
