Bidding among Friends and Enemies with Symmetric Information
We consider an auction setting, in a symmetric information framework, in which bidders, even if they fail to obtain the good, care about the price paid by the winner. We prove that the outcome of the first-price auction is not affected by identity-independent price externalities, while the outcome of the second-price auction is. In contrast, identity-dependent price externalities affect the outcome of both auction formats. In any case, the second-price auction exacerbates the effects of price externalities.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 166 (2010)
Issue (Month): 2 (June)
|Contact details of provider:|| Web page: http://www.mohr.de/jite |
|Order Information:|| Postal: Mohr Siebeck GmbH & Co. KG, P.O.Box 2040, 72010 Tübingen, Germany|
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Craig Landry & Andreas Lange & John A. List & Michael K. Price & Nicholas G. Rupp, 2005.
"Toward an Understanding of the Economics of Charity: Evidence from a Field Experiment,"
NBER Working Papers
11611, National Bureau of Economic Research, Inc.
- Craig E. Landry & Andreas Lange & John A. List & Michael K. Price & Nicholas G. Rupp, 2006. "Toward an Understanding of the Economics of Charity: Evidence from a Field Experiment," The Quarterly Journal of Economics, MIT Press, vol. 121(2), pages 747-782, May.
- Andreas Lange & Craig Landry & John List & Michael Price & Nicholas Rupp, 2006. "Toward an understanding of the economics of charity: Evidence from a field experiment," Natural Field Experiments 00292, The Field Experiments Website.
- Ettinger, David, 2003.
"Efficiency in auctions with crossholdings,"
Economics Papers from University Paris Dauphine
123456789/5448, Paris Dauphine University.
- Jehiel, Phillipe & Moldovanu, Benny, 1997.
"Auctions with Downstream Interaction among Buyers,"
Sonderforschungsbereich 504 Publications
97-06, Sonderforschungsbereich 504, Universität Mannheim;Sonderforschungsbereich 504, University of Mannheim.
- Jeremy Bulow & Paul Klemperer, 2002.
"Prices and the Winner's Curse,"
RAND Journal of Economics,
The RAND Corporation, vol. 33(1), pages 1-21, Spring.
- Fan, Cuihong & Jun, Byoung Heon & Wolfstetter, Elmar G., 2009. "Auctioning Process Innovations when Losersâ€™ Bids Determine Royalty Rates," Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems 291, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
- Philippe Jehiel & Benny Moldovanu, 1996.
RAND Journal of Economics,
The RAND Corporation, vol. 27(1), pages 84-98, Spring.
- Jeremy Bulow & Ming Huang & Paul Klemperer, 1999.
"Toeholds and Takeovers,"
Journal of Political Economy,
University of Chicago Press, vol. 107(3), pages 427-454, June.
- Jeremy Bulow & Ming Huang & Paul Klemperer, 1999. "Toeholds and Takeovers," Finance 9903005, EconWPA.
- Paul Klemperer & Jeremy Bulow, 1998. "Toeholds and Takeovers," Economics Series Working Papers 1998-W04, University of Oxford, Department of Economics.
- Bulow, Jeremy I. & Huang, Ming & Klemperer, Paul, 1996. "Toeholds and Takeovers," CEPR Discussion Papers 1486, C.E.P.R. Discussion Papers.
- Jeremy Bulow & Ming Huang & Paul Klemperer, 1996. "Toeholds and Takeovers," Finance 9608001, EconWPA.
- Maasland, E. & Onderstal, A.M., 2002.
"Auctions with Financial Externalities,"
2002-22, Tilburg University, Center for Economic Research.
- David ETTINGER, 2008.
"Auctions and Shareholdings,"
Annales d'Economie et de Statistique,
ENSAE, issue 90, pages 233-257.
- Jacob K. Goeree & Emiel Maasland & Sander Onderstal & John L. Turner, 2005. "How (Not) to Raise Money," Journal of Political Economy, University of Chicago Press, vol. 113(4), pages 897-926, August.
- Andreas Lange & John A. List & Michael K. Price, 2007.
"Using Lotteries To Finance Public Goods: Theory And Experimental Evidence,"
International Economic Review,
Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 48(3), pages 901-927, 08.
- Andreas Lange & John List & Michael Price, 2007. "Using lotteries to finance public goods: theory and experimental evidence," Artefactual Field Experiments 00381, The Field Experiments Website.
- Maxim Engers & Brian McManus, 2007. "Charity Auctions," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 48(3), pages 953-994, 08.
- Morgan, John & Sefton, Martin, 2000. "Funding Public Goods with Lotteries: Experimental Evidence," Review of Economic Studies, Wiley Blackwell, vol. 67(4), pages 785-810, October.
- Singh, Rajdeep, 1998.
"Takeover Bidding with Toeholds: The Case of the Owner's Curse,"
Review of Financial Studies,
Society for Financial Studies, vol. 11(4), pages 679-704.
- Rajdeep Singh, 1995. "Takeover Bidding with Toeholds: The Case of the Owner's Curse," Finance 9503001, EconWPA.
- Carolyn Pitchik & Andrew Schotter, 1988.
"Perfect Equilibria in Budget-Constrained Sequential Auctions: An Experimental Study,"
RAND Journal of Economics,
The RAND Corporation, vol. 19(3), pages 363-388, Autumn.
- Pitchik, Carolyn & Schotter, Andrew, 1986. "Perfect Equilibria in Budget Constrained Sequential Auctions: An Experimental Study," Working Papers 86-22, C.V. Starr Center for Applied Economics, New York University.
- Burkart, Mike, 1995. " Initial Shareholdings and Overbidding in Takeover Contests," Journal of Finance, American Finance Association, vol. 50(5), pages 1491-1515, December.
- Pitchik, Carolyn & Schotter, Andrew, 1986. "Budget Constrained Sequential Auctions," Working Papers 86-21, C.V. Starr Center for Applied Economics, New York University.
When requesting a correction, please mention this item's handle: RePEc:mhr:jinste:urn:sici:0932-4569(201006)166:2_365:bafaew_2.0.tx_2-5. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Thomas Wolpert)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.