Constructing preference from experience: The endowment effect reflected in external information search.

Information, Preference Kinks, and the Endowment E¤ect

Subjective Value of Information : the Endowment Effect

Value judgments about information and its value are vital for a functioning information society. Subjective valuations, formulated by individuals determine the demand for information and trading in it. Theoretically, these subjective value determinations should be influenced by ownership rights, a phenomenon coined the “Endowment Effect” in psychological study of trading situations. This study ...

Reconsidering the Effect of Market Experience on the ''Endowment Effect''

Simple exchange experiments have revealed that participants trade their endowment less frequently than standard demand theory would predict. List (2003a) finds that the most experienced dealers acting in a well-functioning market are not subject to this exchange asymmetry, suggesting that a significant amount of market experience is required to overcome it. In order to understand this market-ex...

Trading experience modulates anterior insula to reduce the endowment effect.

People often demand a greater price when selling goods that they own than they would pay to purchase the same goods-a well-known economic bias called the endowment effect. The endowment effect has been found to be muted among experienced traders, but little is known about how trading experience reduces the endowment effect. We show that when selling, experienced traders exhibit lower right ante...

The effect of increasing distance of external focus and preference on performance accuracy in dart throwing

The present study examined the effectiveness of distal versus proximal external foci of attentions a function of performers’ preferences for a certain focus. dart throwing task were used, and participants (N=20) were instructed to direct their attention either to the target (distal focus) or the flight of the dart (proximal focus). Participants were asked to select their preferred focus aft...