TY - GEN
T1 - Artificial software agents on thin double auction markets - A human trader experiment
AU - Grossklags, Jens
AU - Schmidt, Carsten
PY - 2003
Y1 - 2003
N2 - This paper studies how software agents influence the market behavior of human traders. Software agents with a passive arbitrage seeking strategy are introduced in a double auction market experiment with human subjects in the laboratory. As a treatment variable, the influence of information on the existence of software agents is investigated. We found that common knowledge about the presence of software agents triggers more efficient market prices when the programmed strategy was employed whereas an effect of the information condition on behavioral variables could not be observed. Surprisingly, the introduction of software agents results in lower market efficiency in the no information treatment when compared to the baseline treatment without software agents.
AB - This paper studies how software agents influence the market behavior of human traders. Software agents with a passive arbitrage seeking strategy are introduced in a double auction market experiment with human subjects in the laboratory. As a treatment variable, the influence of information on the existence of software agents is investigated. We found that common knowledge about the presence of software agents triggers more efficient market prices when the programmed strategy was employed whereas an effect of the information condition on behavioral variables could not be observed. Surprisingly, the introduction of software agents results in lower market efficiency in the no information treatment when compared to the baseline treatment without software agents.
UR - http://www.scopus.com/inward/record.url?scp=44149113363&partnerID=8YFLogxK
M3 - Conference contribution
AN - SCOPUS:44149113363
SN - 0769519318
SN - 9780769519319
T3 - Proceedings - IEEE/WIC International Conference on Intelligent Agent Technology, IAT'03
SP - 400
EP - 410
BT - Proceedings - IEEE/WIC International Conference on Intelligent Agent Technology, IAT'03
T2 - 2003 IEEE/WIC International Joint Conference on Intelligent Agent Technology and Web Intelligence, IAT'03 and WI'03
Y2 - 13 October 2003 through 17 October 2003
ER -