The bidder who is not awarded the item makes no gain.
Payoffs
Your total profit from participating in this experiment is equal to the sum of your gains in the
auction.
Your total profit is exchanged at the rate of 0.04DM per point.
Appendix 2 - Screen shot
Screen shot of a strong bidder’s terminal in the treatment LOW. The presented auction is
fictitious. Auction 3 (called “round 3” in the experiment) has just elapsed. The next auction
begins as soon as all participants have pressed the “continue” button.
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