Auctions and shareholdings
This paper examines how shareholdings affect auctions' revenue and efficiency with independent private values. Two types of shareholdings are analyzed: Vertical (resp: horizontal) toeholds cover situations in which bidders own a fraction of the seller's profit (resp: a share of their competitor's profit). Expected revenue is an increasing (resp: decreasing) function of vertical (resp: horizontal) toeholds. With both types of toeholds, auction formats are not revenue equivalent. Expected revenue is affected to a greater extent by the presence of toeholds in the second price auction than in the first-price auction.
|Date of creation:||2008|
|Publication status:||Published in Annales d'Economie et Statistiques, 2008, 90, pp.1-23|
|Note:||View the original document on HAL open archive server: https://hal.archives-ouvertes.fr/hal-00701303|
|Contact details of provider:|| Web page: https://hal.archives-ouvertes.fr/|
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.:
- María-Angeles de Frutos & Thomas Kittsteiner, 2008.
"Efficient partnership dissolution under buy-sell clauses,"
RAND Journal of Economics,
RAND Corporation, vol. 39(1), pages 184-198.
- Frutos, María Ángeles de & Kittsteiner, Thomas, 2006. "Efficient partnership dissolution under buy-sell clauses," UC3M Working papers. Economics we072816, Universidad Carlos III de Madrid. Departamento de Economía.
- Kittsteiner, T. & De Frutos & M-A, 2004. "Efficient Partnership Dissolution under Buy/Sell Clauses," Econometric Society 2004 Latin American Meetings 314, Econometric Society.
- Maria Angeles de Frutos & Thomas Kittsteiner, 2004. "Efficient partnership dissolution under buy/sell clauses," Bonn Econ Discussion Papers bgse1_2004, University of Bonn, Germany, revised Jul 2004.
- Emiel Maasland & Sander Onderstal, 2003.
"Auctions with Financial Externalities,"
2003.30, Fondazione Eni Enrico Mattei.
- Pitchik, Carolyn & Schotter, Andrew, 1986. "Budget Constrained Sequential Auctions," Working Papers 86-21, C.V. Starr Center for Applied Economics, New York University.
- 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.
- 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.
- Sudipto Dasgupta & Kevin Tsui, 2004. "Auctions with cross-shareholdings," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 24(1), pages 163-194, 07.
When requesting a correction, please mention this item's handle: RePEc:hal:journl:hal-00701303. 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: (CCSD)
If references are entirely missing, you can add them using this form.