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The visible hand: finger ratio (2D:4D) and competitive bidding

Published online by Cambridge University Press:  14 March 2025

Matthew Pearson  and
Burkhard C. Schipper
Matthew Pearson*
Affiliation:
Department of Economics, University of California, Davis, USA
Burkhard C. Schipper*
Affiliation:
Department of Economics, University of California, Davis, USA
*
[email protected]
[email protected]
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Abstract

In an experiment using two-bidder first-price sealed bid auctions with symmetric independent private values and 400 subjects, we scan also the right hand of each subject. We study how the ratio of the length of the index and ring fingers (2D:4D) of the right hand, a measure of prenatal hormone exposure, is correlated with bidding behavior and total profits. 2D:4D has been reported to predict competitiveness in sports competition (Manning and Taylor in Evol. Hum. Behav. 22:61–69, 2001, and Hönekopp et al. in Horm. Behav. 49:545–549, 2006), risk aversion in lottery tasks (Dreber and Hoffman in Portfolio selection in utero. Stockholm School of Economics, 2007; Garbarino et al. in J. Risk Uncertain. 42:1–26, 2011), and the average profitability of high-frequency traders in financial markets (Coates et al. in Proc. Natl. Acad. Sci. 106:623–628, 2009). We do not find any significant correlation between 2D:4D on either bidding or profits. However, there might be racial differences in the correlation between 2D:4D and bidding and profits.

Keywords

HormonesDigit ratio2D:4DRisk behaviorCompetitionCompetitive behaviorAuctionsBiddingEndocrinological economics

JEL classification

D87: Neuroeconomics D44: Auctions C91: Laboratory, Individual Behavior D81: Criteria for Decision-Making under Risk and Uncertainty C92: Laboratory, Group Behavior C72: Noncooperative Games
Type
Research Article
Information
Experimental Economics , Volume 15 , Issue 3 , September 2012 , pp. 510 - 529
Copyright
Copyright © 2011 Economic Science Association

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Footnotes

Electronic Supplementary Material The online version of this article (doi:https://doi.org/10.1007/s10683-011-9311-7) contains supplementary material, which is available to authorized users.

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