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We study the optimal entry fee in a symmetric private value first-price auction with signaling, in which the … auction has a unique fully separating equilibrium bidding function. When the bidders' sensibility for the signaling concern is …
Persistent link: https://www.econbiz.de/10013358791
We study the optimal entry fee in a symmetric private value first-price auction with signaling, in which the … auction has a unique fully separating equilibrium bidding function. When the bidders’ sensibility for the signaling concern is …
Persistent link: https://www.econbiz.de/10013202847
This paper shows that in online car auctions, resellers are better at appraising the value of the cars they are bidding on than are consumers. Using a unique data set of online car auctions, I show that differences in bidding behavior between resellers and consumers can be explained by...
Persistent link: https://www.econbiz.de/10011430656
seller's information is not verifiable, and the reserve price works as a signaling device. In this paper, we consider an … that such a signaling incentive could decrease the seller's profit and probability of sale in equilibrium, with a larger …. We estimate the reserve price signaling model using a novel dataset from a large online auto auction platform. We find …
Persistent link: https://www.econbiz.de/10013242047
-price auction model. Finally, we use a specific signaling structure with uniform distributions to show that signaling need not be … beneficial for any precision of the signal. -- Asymmetric auction ; first-price auction ; signaling …
Persistent link: https://www.econbiz.de/10009124829
We study a symmetric private value auction with signaling, in which the auction outcome is used by an outside observer … clock, affects signaling incentives differently in both auction formats, and thereby also the bidders’ incentives to overbid …
Persistent link: https://www.econbiz.de/10012305849
We consider a multi-dimensional procurement problem in which sellers have private information about their costs and about a possible design flaw. The information about the design flaw is necessarily correlated. We solve for the optimal Bayesian procurement mechanism that implements the efficient...
Persistent link: https://www.econbiz.de/10011976063
-price auction model. Finally, we use a specific signaling structure with uniform distributions to show that signaling need not be …
Persistent link: https://www.econbiz.de/10008676565
We study the relative performance of the first-price sealed-bid auction and the second-price sealed-bid auction in a laboratory experiment where bidders can signal information through their bidding behavior to an outside observer. We consider two different information settings: the auctioneer...
Persistent link: https://www.econbiz.de/10011664217
If bidders are uncertain whether the auctioneer sticks to the announced reserve, some bidders respond by not bidding, speculating that the auctioneer may revoke the reserve. However, the reserve inadvertently signals the auctioneer's type, which drives a unique separating and a multitude of...
Persistent link: https://www.econbiz.de/10009781360