The Willingness to Pay-Willingness to Accept Gap, the "Endowment Effect," Subject Misconceptions, and Experimental Procedures for Eliciting Valuations

摘要: The purpose of Plott and Zeiler (2005)—henceforth, PZ—was to investigate whether previously published experiments using consumption goods such as mugs candy bars measure gaps between willingness pay (WTP) willingnessto-accept (WTA) support endowment effect theory (EET). Our results demonstrate that the gap for commodities can be turned on off by implementing procedures designed control subject misconceptions about value elicitation procedures. Following traditionally used effect, we mug valuations test EET. We lottery rounds only provide our subjects with paid practice device prior employing elicit subjects’ valuations. In a footnote, report evidence contamination in data rendered it inappropriate purposes (PZ 2005, fn. 15). footnote summarized details reported supplement provided all who request data. was not referenced paper, so make available an online Appendix Reply. 1 Andrea Isoni, Graham Loomes, Robert Sugden (2011)—henceforth, ILS—use experimental similar ours observe, just did, no ILS claim 2005 paper is misleading has misled researchers. They are concerned produces, been interpreted producing, set sufficient remove gaps, including lotteries. To justify their concern they focus wording abstract overlook context paragraphs from which quote sentences thesis. result what consider picture content facts report, namely disappear after implement controls none provides want emphasize EET more general theories prefer ence formation, reference effects decision processes have emerged literature recently might explain results. 2 Section I,