Updating the reserve price in common value auctions

Our findings are consistent with the prediction that, if bidders are aware of the possibility of seller participation in an auction, profits will be reduced on average.

In fact, a decent property can go for more than it would do in the estate agent's window if a number of buyers start bidding it up.This paper explores, through a series of experiments, the effect of shill bidding upon revenues and prices in auctions.We study the practice of shill bidding in a common value framework.Ask to be put on their mailing lists and if you are serious consider signing up for EIG's service which lets you search all auction catalogues and be alerted of properties for sale.

If you do plan on bidding get your finance in place first, realise you will have a short window of opportunity for viewing and any surveys and never forget it is buyer beware.

This is vital, as it will advise on the condition and value of the property.

Updating the reserve price in common value auctions comments

  • Reserve Prices in Internet Advertising Auctions A Field Experiment profil de paulette60


    Mechanism can be implemented by a second-price auction with an appropriately chosen reserve price. This theoretical work has been extended in many directions e.g. Cremer and McLean 1988 and McAfee, McMillan, and Reny 1989 construct optimal auctions in settings with correlated and common bidder values;.…
  • Partial pooling at the reserve price in auctions with. - Yale Economics profil de paulette60


    Two features common to many auctions are the use of reserve prices and the existence of resale markets. Existing theory offers compelling support for the use of reserve prices by profit maximizing sellers. With symmet- ric independent private values, a standard auction with an optimal reserve price is optimal among all.…
  • Dynamic Reserve Prices for Repeated Auctions - Columbia University profil de paulette60


    Question Can changing the reserve prices based on the previous bids improve the revenue of the auction, taking into account the long-term. 1992 determine reserve prices in common value settings. note that the auctioneer commits beforehand to a reserve update rule Ω cf. Devanur et al. 2014. An important.…