Dr. Hikmet Gunay, University of Manitoba Seminar - September 15, 2017
Dr. Hikmet Gunay, University of Manitoba, will present a seminar at 4:00 PM in Arts 807
September 15, 2017
Dr. Hikmet Gunay, University of Manitoba, will present a seminar at 4:00 PM in Arts 807.
Seminar Title: "Which good to sell first in a sequential auction?"
In a sequential auction with global and local bidders, we analyze whether selling a stochastically more valuable good in the first or second auction generates more revenue. We link the correct order of selling to the probability of ex-post loss. As the probability of ex-post loss increases in one auction, the revenue difference between the two sequential auctions, in which the order of selling is reversed, increases. With simulation methods, we find cases in which selling the less valuable good in the first auction generates more revenue.
This seminar is part of the Department of Economics Seminar Series. Everyone is welcome.