Several Japanese local governments started to add endogenous minimum prices to firstprice auctions in their public … procurements. Any bid less than the endogenous minimum price is referred to as abnormally low and is excluded from the procurement … first-price auction which do not have any minimum price. We find that winning prices of this new institution (i) coincide …

-price dimensions after the auction. Both auctions theoretically implement the surplus maximizing mechanism. Our experiment confirms …In this note, we experimentally examine the relative performance of price-only auctions and multi-attribute auctions …. We do so in procurement settings where the buyer can give the winning bidder incentives to exert effort on non …