Kumbhakar, Subal C.; Parmeter, Christopher F.; Tsionas, … - In: Journal of Econometrics 168 (2012) 1, pp. 47-59
This paper considers Bayesian estimation strategies for first-price auctions within the independent private value paradigm. We develop an ‘optimization’ error approach that allows for estimation of values assuming that observed bids differ from optimal bids. We further augment this approach...