Which good to sell first in a sequential auction?
In a sequential auction, we analyze whether selling a stochastically more valuable good in the first or second auction generates more revenue and welfare. One of the buyers is a global bidder who enjoys synergy if she wins both goods. The others are local bidders interested in one specific good. After deriving the equilibrium, we show that there are cases in which selling the less valuable good in the first auction generates higher revenue and/or welfare. We also show the impact of inefficient allocations on revenue.
|Date of creation:||May 2017|
|Contact details of provider:|| Postal: Faculty Building II, 2-1, Naka, Kunitachi, 186 - 8601|
Phone: (+81) 42 – 580 - 8604
Fax: (+81) 42 – 580 - 8605
Web page: http://hias.ad.hit-u.ac.jp/
More information through EDIRC
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.:
- Hikmet Gunay & Xin Meng, 2012.
"Exposure Problem in Multi-unit Auctions,"
ISER Discussion Paper
0848, Institute of Social and Economic Research, Osaka University.
- MENG, Xin & GUNAY, Hikmet, 2017. "Exposure Problem in Multi-Unit Auctions," Discussion paper series HIAS-E-43, Hitotsubashi Institute for Advanced Study, Hitotsubashi University.
- Thomas D. Jeitschko & Elmar Wolfstetter, 2002. "Scale Economies and the Dynamics of Recurring Auctions," Economic Inquiry, Western Economic Association International, vol. 40(3), pages 403-414, July.
- Jeitschko, Thomas D. & Wolfstetter, Elmar, 1998. "Scale economies and the dynamics of recurring auctions," SFB 373 Discussion Papers 1998,62, Humboldt University of Berlin, Interdisciplinary Research Project 373: Quantification and Simulation of Economic Processes.
- Rosenthal, Robert W. & Wang, Ruqu, 1996. "Simultaneous Auctions with Synergies and Common Values," Games and Economic Behavior, Elsevier, vol. 17(1), pages 32-55, November.
- Robert W. Rosenthal & Ruqu Wang, 1995. "Simultaneous Auctions with Synergies and Common Values," Papers 0060, Boston University - Industry Studies Programme.
- Dakshina G. De Silva, 2005. "Synergies in Recurring Procurement Auctions: An Empirical Investigation," Economic Inquiry, Western Economic Association International, vol. 43(1), pages 55-66, January.
- Krishna, Vijay & Rosenthal, Robert W., 1996. "Simultaneous Auctions with Synergies," Games and Economic Behavior, Elsevier, vol. 17(1), pages 1-31, November.
- Vijay Krishna & Robert Rosenthal, 1995. "Simultaneous Auctions with Synergies," Papers 0056, Boston University - Industry Studies Programme.
- Krishna, V. & Rosenthal, R.W., 1995. "Simultaneous Auctions with Synergies," Papers 04-95-06, Pennsylvania State - Department of Economics.
- Vijay Krishna & Robert Rosenthal, 1995. "Simultaneous Auctions with Synergies," Game Theory and Information 9503004, EconWPA.
- Leufkens, Kasper & Peeters, Ronald & Vermeulen, Dries, 2010. "Sequential auctions with synergies: The paradox of positive synergies," Economics Letters, Elsevier, vol. 109(3), pages 139-141, December.
- Leufkens Kasper & Peeters Ronald & Vermeulen Dries, 2006. "Sequential Auctions with Synergies: The Paradox of Positive Synergies," Research Memorandum 018, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
- Leufkens Kasper & Peeters Ronald & Vermeulen Dries, 2010. "Sequential auctions with synergies: The paradox of positive synergies," Research Memorandum 007, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
- Jean-Pierre Benoît & Vijay Krishna, 2001. "Multiple-Object Auctions with Budget Constrained Bidders," Review of Economic Studies, Oxford University Press, vol. 68(1), pages 155-179.
- Jean-Pierre Benoit & Vijay Krishna, 1998. "Multiple-Object Auctions with Budget Constrained Bidders," Game Theory and Information 9805001, EconWPA, revised 26 Jul 1999.
- Branco, Fernando, 1997. "Sequential auctions with synergies: An example," Economics Letters, Elsevier, vol. 54(2), pages 159-163, February.
- repec:eee:indorg:v:52:y:2017:i:c:p:165-187 is not listed on IDEAS
- Indranil Chakraborty, 2004. "Multi-Unit Auctions with Synergy," Economics Bulletin, AccessEcon, vol. 4(8), pages 1-14. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:hit:hiasdp:hias-e-45. 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: (Digital Resources Section, Hitotsubashi University Library)
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.