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Article
No Endowment Effect when People Transact Secondhand Goods over the Internet
Economics Bulletin (2015)
  • Sergio Da Silva
  • Raul Matsushita, University of Brasilia
  • Eliza Silveira
Abstract
We set up a field experiment of the endowment effect by considering thrift shops in Facebook chat rooms and college chat rooms dedicated to secondhand goods transactions. Owners of goods held for use are generally expected to show the endowment effect, but here we show these very owners (most of them females) switch to a trader-like behavior when conducting transactions in the thrift shops and, as a result, the endowment effect vanishes.
Disciplines
Publication Date
2015
Publisher Statement
EB is open access
Citation Information
Sergio Da Silva, Raul Matsushita and Eliza Silveira. "No Endowment Effect when People Transact Secondhand Goods over the Internet" Economics Bulletin Vol. 35 Iss. 3 (2015)
Available at: http://works.bepress.com/sergiodasilva/162/