Reserve prices in a dynamic auction when bidders are capacity-constrained

Allowing for a reserve price in a dynamic auction with capacity-constrained bidders changes the equilibrium in an unexpected way. The distribution of winning bids contains a mass point; several bidder types "bunch" at the reserve price.

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Year of publication:	2010
Authors:	Saini, Viplav
Published in:	Economics Letters. - Elsevier, ISSN 0165-1765. - Vol. 108.2010, 3, p. 303-306
Publisher:	Elsevier
Keywords:	Dynamic auction Capacity constraint Reserve price

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Type of publication:	Article
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10008866992