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  4. Sequential auctions for objects with common and private values
 
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Sequential auctions for objects with common and private values
OA Location
http://eprints.soton.ac.uk/260812/
Author(s)
Fatima, S
Wooldridge, M
Jennings, NR
Type
Conference Paper
Abstract
Sequential auctions are an important mechanism for buying/selling multiple objects. Existing work has studied sequential auctions for objects that are exclusively either common value or private value. However, in many real-world cases an object has both features. Also, in such cases, the common value component (which is the same for all bidders) depends on how much each bidder values the object. Moreover, an individual bidder generally does not know how much the other bidders value it. On the other hand, a bidder’s private value is independent of the others’ private values. Given this,we study settings that have both common and private value elements by treating each bidder’s information about the common value as uncertain. We first determine equilibrium bidding strategies for each auction in a sequence using English auction rules. On the basis of this equilibrium, we analyse the effeciency of auctions. Specifically, we show that the inefficiency that arises as a result of uncertainty about the common values can be reduced if the auctioneer makes its information about the common value known to all bidders. Moreover, our analysis also shows that the inefficeincy of auctions in an agent-based setting is higher than that in an all-human setting.
Date Issued
2005
Citation
Proceedings: 4th International Joint Conference on Autonomous Agents and Multi-Agent Systems, 2005, pp.635-642
URI
http://hdl.handle.net/10044/1/36802
URL
http://eprints.soton.ac.uk/260812/
Start Page
635
End Page
642
Journal / Book Title
Proceedings: 4th International Joint Conference on Autonomous Agents and Multi-Agent Systems
Identifier
http://eprints.soton.ac.uk/260812/
Source
4th Int. Joint Conf. on Autonomous Agents and Multi-Agent Systems
Publication Status
Unpublished
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