This paper studies one managerial decision problem of the auction sites: how to combine penalties with commissions? It is shown that when there exists secondary auction market, the auction whose penalty is a linear function of the seller’s commission will be more efficient than the auction with only commissions but no penalties. It has also been proven that using this strategy can maximize the ...

This paper explores matching with both search and information frictions. Specifically, everyone observes only a noisy signal of the true type of any potential mate. In this context, matching decisions must incorporate not only information about a partner’s attribute conveyed by the noisy signal, but also—as in the winner’s curse in auction theory—information about a partner’s type contained in ...

We study competitive bidding with an explicit bid floor, motivated by minimum wage legislation and minimum labor standard. We derive the equilibrium strategies in, and compare the expected procurement costs among, the firstprice, second-price, English, and Dutch auctions in a private-cost model. For the English auction, we also consider a variant in which each seller can terminate the auction b...

With electronic auctions gaining importance, economists have increasingly gotten interested in researching the impact of variations in auction protocols. However, the infinite number of possible auction configurations and the significance of details make this a hard and tedious task. Therefore we address the issue of comprehensive description both from a conceptual and an implementation perspec...

Grid computing, emerging as a new paradigm for next-generation computing, enables the sharing, selection, and aggregation of geographically distributed heterogeneous resources for solving large-scale problems in science, engineering, and commerce. The resources in the Grid are heterogeneous and geographically distributed. The paper demonstrates the capability of economicbased systems for wide-a...

In auction theory, cryptography has been used to achieve anonymity of the participants, security and privacy of the bids, secure computation and to simulate mediator (auctioneer). Auction theory focuses on revenue and Cryptography focuses on security and privacy. Involving Cryptography at base level, to enhance revenue gives entirely new perspective and insight to Auction theory, thereby achiev...

Assignment Auctions Paul Milgrom April 10, 2008 Abstract. We propose a new auction for selling goods that are close substitutes. The design is a direct mechanism that is compact, easy to implement, respects integer constraints, and is a “tight” simplification of a standard direct competitive mechanism. Connections are established between the assignment auction and the Vickrey auction, the unifo...

This paper proposes a flexible architecture for the creation of Internet auctions. It allows the custom definition of the auction parameters, and provides a decentralized control of the auction process. Auction policies are defined as laws in the Law Governed Interaction (LGI) paradigm. Each of these laws specifies not only the auction algorithm itself (e.g. open-cry, dutch, etc.) but also how ...

E-commerce auction has the auction properties unlike ordinary e-commerce transactions. The online auctions, allowed bidding, become into a new trading model based on the network for the exchange and auction technology. This paper firstly gives the overview of the online auction pricing mechanism and introduces the ecommerce auction market and its characteristics on the one hand. On the other ha...

Title of dissertation: DESIGN OF DISCRETE AUCTION Pacharasut Sujarittanonta, Doctor of Philosophy, 2010 Dissertation directed by: Professor Peter Cramton Department of Economics Chapter 1: Efficient Design of an Auction with Discrete Bid Levels This paper studies one of auction design issues: the choice of bid levels. Full efficiency is generally unachievable with a discrete auction. Since ther...