At Duke University, tickets for the men’s basketball team are highly coveted. The student fans known
At Duke University, tickets for the men’s basketball team are highly coveted. The learner fans notorious as the “Cameron Crazies” repeatedly camp outside the basketball scope for days immanent up to the season’s set-out in hopes of earning the fit to buy tickets. Almost full year, the Duke basketball team is invited to enact in the NCAA Basketball Tournament, the winner of which is crowned the vindicator of US school basketball. Tickets for this result are even harder to get. Students who shortness tickets presage up for a “lottery” and only some are randomly separated to win the casualty of purchasing tickets to the tournament. After the lottery one year, Carmon and Ariely (2000) asked those who won the fit to buy a ticket the lowest potential cost at which they would be desirous to dispose-of their ticket. For those who did not win, the researchers asked the first potential cost they would be desirous to pay for a ticket. These results are reproduced in Table 23.5.
a Given the results in Table 23.5, are any of the lottery winners likely to dispose-of their tickets to lottery losers?
b Suppose that the Duke learners are answering honestly about their dispose-ofing and buying costs. Should seductive or losing the lottery accept any property on their answers? Why energy seductive the lottery accept such a dramatic property on the estimate that learners establish on the recreation tickets?
c Which exhibition of landscape speculation is most relevant in providing an explication for these results?