The authors investigate compliance behavior and revenue implications in simultaneous winner-pay and voluntary-pay auctions in charity and non-charity settings. In the voluntary-pay format, the seller asks all bidders to pay their own high bid, with voluntary payment compliance from losing...

We consider auctions with price externality where all bidders derive utility from the winning price, such as charity auctions. In addition to the benefit to the winning bidder, all bidders obtain a benefit that is increasing in the winning price. Theory makes two predictions in such settings:...