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What Really Matters in Auction Design

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  • Professor Paul Klemperer

    (Nuffield College, University of Oxford)

Abstract

The most important issues in auction design are the traditional concerns of competition policy-preventing collusive, predatory, and entry deterring behaviour. Ascending and uniform-price auctions are particularly vulnerable to these problems (we discuss radiospectrum and football TV-rights auctions, electricity markets, and takeover battles), and the Anglo-Dutch auction-a hybrid of the sealed-bid and ascending auctions-may often perform better. However, everything depends on the details of the context; the circumstances of the U.K. mobile-phone license auction made an ascending format ideal. Auction design is a matter of "horses for courses", not "one size fits all".

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File URL: http://128.118.178.162/eps/mic/papers/0004/0004008.pdf
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Bibliographic Info

Paper provided by EconWPA in its series Microeconomics with number 0004008.

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Length: 20 pages
Date of creation: 21 Jul 2000
Date of revision:
Handle: RePEc:wpa:wuwpmi:0004008

Note: Type of Document - Acrobat pdf; prepared on PC; to print on HP; pages: 20; figures: included
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Web page: http://128.118.178.162

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References

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  20. repec:wop:humbsf:2001-31 is not listed on IDEAS
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  1. How to best auction natural resources
    by Economic Logician in Economic Logic on 2009-05-15 00:03:00
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