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Structural Analysis of Ascending Auctions: an Application to Wholesale Used-car Auctions

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Author Info
Joonsuk Lee
Kyoo il Kim

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Abstract

With the availability of a rich data set, we will develop a new method of conducting structural analysis of ascending auctions under the simplest valuation paradigm, the symmetric IPV model. The data set allows us to adopt a nonparametric approach and make strong interpretation of observed bids, including losing bids, while making a few assumptions about bidding behavior of the model. IdentiÂ…cation and estimation are based on the recent work by Song (2003) that we extend by using one more order statistics and developing better procedure to control auction heterogeneity. We then implement nonparametric tests by Athey and Haile (2002)

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Publisher Info
Paper provided by Econometric Society in its series Econometric Society 2004 Far Eastern Meetings with number 709.

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Date of creation: 11 Aug 2004
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Handle: RePEc:ecm:feam04:709

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Related research
Keywords: Ascending auctions structural analysis nonparametric estimation

Find related papers by JEL classification:
D44 - Microeconomics - - Market Structure and Pricing - - - Auctions

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This page was last updated on 2008-9-25.


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