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We study the inner workings of a bidding cartel focusing on the way in which bidders communicate with one another … regarding how each bidder should bid. We show that the designated winner of the cartel can attain higher payoffs by randomizing … theoretical predictions are borne out in practice by studying a bidding cartel that operated in the town of Kumatori, Japan …
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paper, we present evidence from an actual procurement cartel uncovered during an anticollusion investigation that reconciles … these two points of view and shows that both patterns arise naturally together as part of a cartel arrangement featuring …
Persistent link: https://www.econbiz.de/10012384187
This paper shows that the possibility of collusion between an agent and a supervisor imposes no restrictions on the set of implementable social choice functions (SCF) and associated payoff vectors. Any SCF and any payoff profile that are implementable if the supervisor's information was public...
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We study a problem of optimal auction design in the realistic case in which the players can collude both on the way they play in the auction and on their participation decisions. Despite the fact that the principal's opportunities for extracting payments from the agents in such a situation are...
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