I’m pretty sure that someone has applied this to the endowment effect and published it somewhere, but I don’t have a reference handy. However, the value elicitation process controls for this. Under the process they use, it’s rational to state your true WTP and WTA (you’ll either miss out on a transaction you would have like to take part in or take part in a losing transaction if you misstate these values). This doesn’t prevent it from just being a hardwired thing that humans do, but the gaps do disappear under certain circumstances so that claim seems dubious.
I’m pretty sure that someone has applied this to the endowment effect and published it somewhere, but I don’t have a reference handy. However, the value elicitation process controls for this. Under the process they use, it’s rational to state your true WTP and WTA (you’ll either miss out on a transaction you would have like to take part in or take part in a losing transaction if you misstate these values). This doesn’t prevent it from just being a hardwired thing that humans do, but the gaps do disappear under certain circumstances so that claim seems dubious.