Experimental Auctions

Experimental auctions are research methods used to assess people's preferences and values for goods or services. Participants bid on products or experiences in a controlled setting, often using real money or tokens. The auction helps researchers understand how much individuals are willing to pay for something, revealing insights into consumer behavior and market demand. This method is valuable for studying everything from new technologies to environmental resources, as it provides direct evidence of people's willingness to pay, which can inform policy decisions and business strategies.