7 Auctions Flashcards
1
Q
Auctions
motivation
A
- well-suited in case resources must be allocated in relation to demand or the reach agreements in case of competition
- create competition between agents because an agents needs to perform better or faster than others to win an auction
2
Q
auctions
disadvantages
A
- Winner’s curse
- Lying auctioneer (only Vickrey)
- Sniping
- rings, revelation of private information, …
3
Q
auction
formats
A
- English
- Dutch
- First price sealed bid (FPSB)
- Vickrey
- Multi-unit
- Multi-attribute
- Combinatorial
4
Q
English vs Dutch auction
A
English: open & ascending
problems: shills, collusions, phantom bids
Dutch: open & descending
very efficiet in real life, high competition
5
Q
FPSB
A
First price sealed bid
each bidder sudmits bid without knowledge of others
bids are opened and highest bidder wins
allows multi-unit auctions by soring sealed bid from high to low
6
Q
Vickrey
A
like FPSB but only pay amount of second highest bid
7
Q
multi-attribute auctions
A
bids on more than one attribute, each bid is evaluated through a scoring function
