Chen, Chien-Liang; Tauman, Yair - In: Economic Theory 28 (2006) 1, pp. 145-172
Most of the literature on collusive behavior in auctions ignores two important issues that make collusion difficult to sustain at least in one-shot interactions: the detection of cheating and the verification of bids. Colluding bidders may deceive each other by using shill bidders. Also, if the...