McDaniel, Tanga; Nicklisch, Andreas - Max-Planck-Institut für Ökonomik, Max-Planck-Gesellschaft - 2004
The price mecanism is the primary means of information transfer in decentralized economic systems. High prices indicate high demand, whereas low prices indicate low demand. Thus prices are the signals for accelerating or slowing production. However, using sequential, multi-unit auctions, we show...