We study optimal auctions with expectation-based loss-averse bidders. We first consider when bidders are ex-ante identical. Although symmetric designs are optimal for bidders with expected-utility preferences, if the degree of loss aversion is sufficiently large relative to the variation in...

We consider relational contracts for teams in which the agents monitor each other. We demonstrate that providing rents to the agents strengthens peer sanction endowed within the agents' ongoing relationship, which may have a negative effect to induce unproductive collusion as well as a positive...

A dynamic mechanism design problem is considered. We suppose dynamic population and identical perishable goods, such as time slots of a central facility and hotel rooms. We consider a situation where each agent needs to keep an object for more than one period to make profits. The seller makes...