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Sequential auctions of heterogeneous objects

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  • Muramoto, Akitoshi
  • Sano, Ryuji

Abstract

We consider sequential second-price auctions in which heterogeneous objects are sold to bidders with unit demand and a single dimensional type. We show that a symmetric increasing equilibrium exists if objects are ordered in terms of dispersiveness of value distributions. Equilibrium price declines when objects are equivalent on average and additional conditions hold.

Suggested Citation

  • Muramoto, Akitoshi & Sano, Ryuji, 2016. "Sequential auctions of heterogeneous objects," Economics Letters, Elsevier, vol. 149(C), pages 49-51.
    • Handle: RePEc:eee:ecolet:v:149:y:2016:i:c:p:49-51
    DOI: 10.1016/j.econlet.2016.10.006
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    More about this item

    Keywords

    Sequential auctions; Declining price anomaly; Dispersiveness;
    All these keywords.

    JEL classification:

    • D44 - Microeconomics - - Market Structure, Pricing, and Design - - - Auctions

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