Article dans une série de papiers de travail :

Olivier Armantier et Nicolas Treich, « Star-Shaped Probability Weighting Functions and Overbidding in First-Price Auctions », TSE Working Paper, n°09-024, mars 2009.
[ Texte complet ]

Résumé

There is a debate about whether risk aversion is the main source of overbidding in a first-price independent private values auction. As an alternative, we adopt a non-expected utility framework, and identify an interpretable property on the probability weighting function which always induces overbidding.

Mots clefs

probability weighting function, auctions, overbidding, non-expected utility, risk aversion

Codes JEL

C70 : General
C92 : Laboratory, Group Behavior
D44 : Auctions
D81 : Criteria for Decision-Making under Risk and Uncertainty

Groupe thématique TSE

Economie comportementale et expérimentale