We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
The Winner's Curse and Optimal Auction Bidding Strategies.
- Authors
Hahn, Warren J.; Seaman, Samuel L.
- Abstract
The article offers information on the findings of a simulation that determines ideal strategies in competitive bidding environments. It discusses the two common types of auctions such as the open auction where the bidding price is announced publicly in ascending or descending order and the closed auction where sealed bids are submitted simultaneously where the winner is the individual submitting the highest bid. It focuses on the bidding strategies for first price sealed bid auctions wherein the lowest or highest bid wins. It provides essential observations about auctions such as bidders will pay too high for a price of an item when they do not hedge their value of an item in a competitive competition.
- Subjects
BIDDING strategies; AUCTIONS; BIDDERS; BIDS; OFFER &; acceptance (Contracts); BID price; ASKED price; SPREAD (Finance); TRANSACTION costs; PRICE quotations
- Publication
Graziadio Business Report, 2009, Vol 12, Issue 2, p1
- ISSN
1939-1633
- Publication type
Article