Pay-to-bid auctions / Brennan C. Platt, Joseph Price, Henry Tappen.

Author/creator Platt, Brennan C.
Other author Price, Joseph.
Other author Tappen, Henry.
Other author National Bureau of Economic Research.
Format Electronic
Publication InfoCambridge, MA : National Bureau of Economic Research,
Supplemental ContentFull text available from NBER Working Papers

SeriesNBER working paper series ; working paper 15695
Working paper series (National Bureau of Economic Research : Online) ; working paper no. 15695. UNAUTHORIZED
Summary "We analyze a new auction format in which bidders pay a fee each time they increase the auction price. Bidding fees are the primary source of revenue for the seller, but produce the same expected revenue as standard auctions. Our model predicts a particular distribution of ending prices, which we test against observed auction data. Our model fits the data well for over three-fourths of routinely auctioned items. The notable exceptions are video game paraphernalia, which show more aggressive bidding and higher expected revenue. By incorporating mild risk-loving preferences in the model, we explain nearly all of the auctions"--National Bureau of Economic Research web site.
General noteTitle from PDF file as viewed on 3/9/2010.
Bibliography noteIncludes bibliographical references.
Access restrictionAvailable only to authorized users.
Other formsAlso available in print.
Technical detailsMode of access: World Wide Web
Genre/formElectronic books.
LCCN 2010655714

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Electronic Resources Access Content Online ✔ Available