Hafalir, Isa; Krishna, Vijay - In: Journal of Mathematical Economics 45 (2009) 9-10, pp. 589-602
We study first-price auctions in a model with asymmetric, independent private values. Asymmetries lead to inefficient allocations, thereby creating a motive for resale after the auction is over. In our model, resale takes place via monopoly pricing--the winner of the auction makes a...