Simultaneous ascending auctions with complementarities and known budget constraints
Publication
, Journal Article
Brusco, S; Lopomo, G
Published in: Economic Theory
January 1, 2009
We study simultaneous ascending auctions of two identical objects when bidders are financially constrained and their valuations exhibit complementarities. We assume the budget constraints are known but the values for individual objects are private information, and characterize noncollusive equilibria. Equilibrium behavior is affected by the exposure problem. Bidders with higher budgets are more reluctant to bid, because opponents with lower budgets may end up pursuing a single object, thus preventing the realization of complementarities. Therefore poor bidders may win both objects when they do not have the highest valuation. © 2007 Springer-Verlag.
Duke Scholars
Published In
Economic Theory
DOI
EISSN
1432-0479
ISSN
0938-2259
Publication Date
January 1, 2009
Volume
38
Issue
1
Start / End Page
105 / 124
Related Subject Headings
- Economic Theory
- 3803 Economic theory
- 3801 Applied economics
- 3502 Banking, finance and investment
- 1403 Econometrics
- 1402 Applied Economics
- 1401 Economic Theory
Citation
APA
Chicago
ICMJE
MLA
NLM
Brusco, S., & Lopomo, G. (2009). Simultaneous ascending auctions with complementarities and known budget constraints. Economic Theory, 38(1), 105–124. https://doi.org/10.1007/s00199-007-0217-8
Brusco, S., and G. Lopomo. “Simultaneous ascending auctions with complementarities and known budget constraints.” Economic Theory 38, no. 1 (January 1, 2009): 105–24. https://doi.org/10.1007/s00199-007-0217-8.
Brusco S, Lopomo G. Simultaneous ascending auctions with complementarities and known budget constraints. Economic Theory. 2009 Jan 1;38(1):105–24.
Brusco, S., and G. Lopomo. “Simultaneous ascending auctions with complementarities and known budget constraints.” Economic Theory, vol. 38, no. 1, Jan. 2009, pp. 105–24. Scopus, doi:10.1007/s00199-007-0217-8.
Brusco S, Lopomo G. Simultaneous ascending auctions with complementarities and known budget constraints. Economic Theory. 2009 Jan 1;38(1):105–124.
Published In
Economic Theory
DOI
EISSN
1432-0479
ISSN
0938-2259
Publication Date
January 1, 2009
Volume
38
Issue
1
Start / End Page
105 / 124
Related Subject Headings
- Economic Theory
- 3803 Economic theory
- 3801 Applied economics
- 3502 Banking, finance and investment
- 1403 Econometrics
- 1402 Applied Economics
- 1401 Economic Theory