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Fishing for Fools
How big is the e¤ect of a few fools on market outcomes? We argue that in auctions, even a small share of overbidding behavioral agents have a large e¤ect, because the auction format shesfor the highest-bidding behavioral buyers. Through this shing mechanism, behavioral agents disproportionately increase auction pro ts. They also generate a large welfare loss by crowding out the demand of ra...
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ژورنال
عنوان ژورنال: European Heart Journal
سال: 2001
ISSN: 0195-668X
DOI: 10.1053/euhj.2001.2663