E. Vandijk et D. Vanknippenberg, TRADING WINE - ON THE ENDOWMENT EFFECT, LOSS AVERSION, AND THE COMPARABILITY OF CONSUMER-GOODS, Journal of economic psychology, 19(4), 1998, pp. 485-495
In the present article we argue that the extent to which potential tra
ders are susceptible to the endowment effect, is related to the compar
ability of the to be traded goods. This hypothesis was tested in an ex
perimental market in which participants endowed with a bottle of wine
were offered the opportunity to trade their wine for another wine. Res
ults of our study support the hypothesis, and corroborate the generali
zation that the endowment effect is a manifestation of loss aversion.
(C) 1998 Elsevier Science B.V. All rights reserved.