Title: Revisiting the declining price anomaly in wine auctions

Authors: Ginette McManus; Rajneesh Sharma; Michael Alleruzzo

Addresses: Haub School of Finance, Saint Joseph's University, 5600 City Avenue, Philadelphia, PA 19131, USA ' Haub School of Finance, Saint Joseph's University, 5600 City Avenue, Philadelphia, PA 19131, USA ' Haub School of Finance, Saint Joseph's University, 5600 City Avenue, Philadelphia, PA 19131, USA

Abstract: This paper investigates the declining price anomaly in wine auctions. The anomaly refers to the observation that when identical lots of wine are sold sequentially in a single auction, prices are more likely to decrease with later lots. Using The Chicago Wine Company's auction data, we find no evidence of declining prices in sequential wine auctions. The results are robust and consistent across wine price ranges.

Keywords: wine auctions; wine prices; declining prices; sequential auctions.

DOI: 10.1504/IJEBR.2016.081230

International Journal of Economics and Business Research, 2016 Vol.12 No.4, pp.348 - 354

Received: 16 Sep 2016
Accepted: 19 Sep 2016

Published online: 29 Dec 2016 *

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