Multi-unit auctions are sometimes plagued by the so-called exposure problem. In this paper, we analyze a simple game … called the "chopstick auction" in which bidders are confronted with the exposure problem. We do so both in theory and in a …-price sealed-bid auction in which the exposure problem is not present. In the experiment, however, we find that the chopstick …

prices without relying on any central mediator. This equilibrium eliminates the exposure problem for a bidder whose valuation …