We found a match
Your institution may have rights to this item. Sign in to continue.
- Title
Informed entry in auctions.
- Authors
Aycinena, Diego; Bejarano, Hernán; Rentschler, Lucas
- Abstract
We examine entry decisions in first-price and English clock auctions with participation costs. Potential bidders observe their value and report maximum willingness to pay (WTP) to participate. Entry occurs if revealed WTP (weakly) exceeds the randomly drawn participation cost.We find no difference in WTP between auction formats, although males have a higherWTPfor first-price auctions.WTP is decreasing in the number of potential bidders, but this reduction is less than predicted and small in magnitude.
- Subjects
AUCTIONS; DECISION making; BIDDERS; WILLINGNESS to pay; CONSUMER behavior
- Publication
International Journal of Game Theory, 2018, Vol 47, Issue 1, p175
- ISSN
0020-7276
- Publication type
Article
- DOI
10.1007/s00182-017-0583-9