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3
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3answers
63 views

Bidder Count Impact on Uniform Price Economics

Say we have an uniform price auction where 1 really rare stamp is for sale. Only 5 randomly selected stamp collectors are invited to bid and the stamp ends up selling for 1 million dollars. Now ...
5
votes
3answers
46 views

What are the benefits of a first price sealed bid auction?

All parties make a single bid. But do not disclose the bid to peers. The organizer chooses the maximum (or minimum) bid as the winner. What are benefits of such a system as opposed to normal auction ...
4
votes
1answer
96 views

Fantasy football

I have an idea for a fantasy football experiment looking at three different areas of the draft. These three areas are the position of each pick and how often and what value are trades. I have dug ...
2
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1answer
64 views

Reverse auction formula

I am studing a little bit of auction theory. I found the optimal bid value in the Milgrom paper for the first price auction that is $$ P=v \frac{n-1}{n} $$ where $P$ is the optimal bid, $v$ is the ...
1
vote
1answer
59 views

Intuition behind the linkage principle

An important result in auction theory is Milgrom & Weber's linkage principle, which, roughly, holds that the expected revenue from an auction is higher is the seller commits ex ante to reveal as ...