Visiting Speaker: Shiran Rachmilevitch, University of Haifa
Presentation Title: Team bidding: information-aggregation and the auction format
Abstract:
I study an auction in which one of the bidders is a team. For the team members, the auctioned item is a public good: if they win it, they all enjoy it. They need to aggregate their private valuations-information in order to decide how much to bid and how to split the payment to the auctioneer. For the class of aggregation mechanisms studied in this paper, no information is aggregated if the auction’s format is first-price. But if it is second-price, the game has an equilibrium in which each member reveals his type, provided that the type exceeds a cutoff.
Host: Maciej Kotowski