Tukiainen, Janne - Valtion taloudellinen tutkimuskeskus (VATT), Government … - 2013
I study the role of minimum bid increments (MBI) in internet auctions using field experiment data. I sell identical gift cards while varying the MBI. Internet auctions have typically been viewed as second-price, implying truthful bidding. However, due to the presence of the MBI, equilibrium...