Anchoring is a robust behavioral phenomenon modeled predominantly as a bias in individual judgment. We propose a game … toward the anchor in games where choices are strategic substitutes. …

in strategic settings. This article studies the role of anchoring bias in private-value auctions. We test experimentally … first-price sealed-bid auction result in higher bids. We show that such behavior can be explained as a rational response to … biased beliefs. In Dutch auctions, the effect of a starting price, is negative. We demonstrate that the long …

-unit, multi-bid uniform auction, modelled as a Bayesian game of incomplete information. At the auction each firm anticipates his … as their bidding strategies and it precludes the auction from generating a cost-effective allocation of permits, as it … would occur in simpler auction models. Auctioning tends to be more cost-effective than grandfathering when the firms' costs …

In this paper we present a new iterative acution, the bisection auction, that can be used for the sale of a single … indivisible object. We will show that the bisection auction is computationally more efficient than the classical English auction … while it still preserves all characteristics the English auction shares with the Vickrey auction: There exists an …