<abstract xmlns="http://www.w3.org/1999/xhtml"><p> The article refers to the issue of the endowment effect, which acts as a mechanism that influences valuation. The paper’s main aim is to verify the endowment effect phenomenon for branded, fast-moving consumer goods. The subject of this paper also includes examining whether short-term possession, generates the endowment effect. It also studies how the possibility of using a product influences the power of the examined phenomenon. In order to verify the proposed hypothesis, an economic experiment was used. Its results were analyzed with the use of descriptive statistics and econometric methods. The study demonstrated that the endowment effect determines the perception of goods and influences their valuation.</p></abstract>

The article refers to the issue of the endowment effect, which acts as a mechanism that influences valuation. The paper’s main aim is to verify the endowment effect phenomenon for branded, fast-moving consumer goods. The subject of this paper also includes examining whether short-term possession, generates the endowment effect. It also studies how the possibility of using a product influences the power of the examined phenomenon. In order to verify the proposed hypothesis, an economic experiment was used. Its results were analyzed with the use of descriptive statistics and econometric methods. The study demonstrated that the endowment effect determines the perception of goods and influences their valuation.

Influence of The Endowment Effect on The Valuation of Goods. An Experimental Verification

Faculty of Economic Sciences, University of Warsaw,

Financial Internet Quarterly

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

The article refers to the issue of the endowment effect, which acts as a mechanism that influences valuation. The paper’s main aim is to verify the endowment...

Influence of The Endowment Effect on The Valuation of Goods. An Experimental Verification

Published Online: Feb 08, 2017

Page range: 86 - 96

Received: May 25, 2015

Accepted: Sep 01, 2015

DOI: https://doi.org/10.1515/fiqf-2016-0109

Keywords
endowment effect, experimental economics, auction pricing, valuation

© 2017

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Influence of The Endowment Effect on The Valuation of Goods. An Experimental Verification

Published Online: Feb 08, 2017

Page range: 86 - 96

Received: May 25, 2015

Accepted: Sep 01, 2015

DOI: https://doi.org/10.1515/fiqf-2016-0109

Keywordsendowment effect, experimental economics, auction pricing, valuation

© 2017

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Keywords
endowment effect, experimental economics, auction pricing, valuation