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This paper compares the equilibrium outcomes from a recently developed model of procurement competition with …
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We consider two mechanisms to procure differentiated goods: a request for quote and an English auction with bidding credits. In the request for quote, each seller submits a price and the inherent quality of his good. Then the buyer selects the seller who offers the greatest difference in quality...
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differentiation into a standard procurement setting. Both institutions yield identical surplus for the buyer, a difference from prior …
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