This paper characterizes the Nash equilibrium in a pay-as-bid (discriminatory), divisible-good, procurement auction …. Demand by the auctioneer is uncertain as in the supply function equilibrium model. A closed form expression is derived … bidding behaviour in pay-as-bid electricity auctions, such as the balancing mechanism of United Kingdom. Offer curves and mark …

In most wholesale electricity markets generators must submit step-function offers of supply to a uniform price auction …. -- Auctions ; supply function equilibria ; convergence of step-functions ; electricity markets … elegantly be modelled as the pure-strategy, Nash Equilibrium of continuous supply functions, in which each supplier has a unique …

; pay-as-bid auction ; discriminatory auction ; divisible good auction ; oligopoly ; electricity market …-ups of the derived equilibrium are compared to results for the SFE of a uniform-price auction. -- supply function equilibrium …This paper characterizes the Nash equilibrium in a pay-as-bid (discriminatory), divisible-good, procurement auction …