General Information

You are about to participate in an experiment in the economics of market decision making in which you will earn money based on the decisions you make.  Any money you earn is yours to keep and will be paid to you in cash at the end of the experiment.  All units of account will be in experimental currency (e$ dollars).  Upon conclusion of the experiment, your earnings will be converted into N.Z. dollars at an exchange rate displayed on the Info page of your computer screen.  These earnings, plus the “show up” payment, will be paid to you in private at the end of the experiment.

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Specific Instructions

The experiment consists of a series of periods in which you have the opportunity to acquire, via a competitive bidding process, one or more items which will be referred to as “blocks”  There are N blocks available for sale in each period.  Blocks come with either an L or a U characteristic.  At the beginning of each period every participant will be assigned a value (in e$) that he or she places on a particular block depending on which characteristic (i.e. L or U) the block is assigned.  In addition, each participant may be assigned a financial budget representing the total funds available to the participant for bidding.  The bidding process allows participants to compete to determine both the identity of the winning bidders and the characteristics of the blocks associated with the winning bids.  Each participant’s assigned block values and financial budget may differ across periods.  Your earnings at the end of each period depend on the number of blocks you acquire, the characteristic that is assigned to each acquired block, the value you place on each block, and the price you pay for each block.  Each participant’s total cost and earnings are revealed only to that participant.

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http://isomteaching2.isom.auckland.ac.nz:81/gameservlet/ca2/index2.html

 

Click on the link above to get access to the auction​

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