This paper proposes tests to empirically examine whether auction prices aggregate information away from the limit. These tests are applied to a unique dataset containing winning bids and measures of the value and dispersion of information signals in eBay auctions for computers. Results suggest...

Do bidders behave as auction theory predicts they should? How do bidders (and thus, prices) react to different types of information? This paper derives implications of auction theory with respect to the dispersion of private information signals in an auction. I conduct a survey of non-bidders to...