From English to First-Price Sealed Bid: An Empirical Assessment of the Change in Auction Type on Experienced Bidders
This paper estimate the differential impact of first-price sealed-bid (first-price) auctions relative to English auctions on auction revenue. While there is a theoretical literature on the potential outcomes of first-price relative to English auction, there is a paucity of articles that empirically...
| Main Author: | |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Sciendo
2014-06-01
|
| Series: | Review of Economic Perspectives |
| Subjects: | |
| Online Access: | https://doi.org/10.2478/revecp-2014-0006 |
| _version_ | 1818907513861439488 |
|---|---|
| author | Miller Joshua J. |
| author_facet | Miller Joshua J. |
| author_sort | Miller Joshua J. |
| collection | DOAJ |
| description | This paper estimate the differential impact of first-price sealed-bid (first-price) auctions relative to English auctions on auction revenue. While there is a theoretical literature on the potential outcomes of first-price relative to English auction, there is a paucity of articles that empirically estimate this relationship. The answer to this question is important not only to economists but also those designing auction for practical application. Using a unique dataset from tax lien auctions in Illinois, I empirically test the effect of a switch in auction type from English to first-price. I find auction revenue is greatly increased, by as much as 22 percent, under the first-price auction. The results are supported by a within county difference-in-difference model specification and are robust when restricting the sample across various specifications |
| first_indexed | 2024-12-19T21:56:19Z |
| format | Article |
| id | doaj.art-37754d6ce93c410eb974727607724bb1 |
| institution | Directory Open Access Journal |
| issn | 1804-1663 |
| language | English |
| last_indexed | 2024-12-19T21:56:19Z |
| publishDate | 2014-06-01 |
| publisher | Sciendo |
| record_format | Article |
| series | Review of Economic Perspectives |
| spelling | doaj.art-37754d6ce93c410eb974727607724bb12022-12-21T20:04:16ZengSciendoReview of Economic Perspectives1804-16632014-06-0114210512710.2478/revecp-2014-0006revecp-2014-0006From English to First-Price Sealed Bid: An Empirical Assessment of the Change in Auction Type on Experienced BiddersMiller Joshua J.0Housing Policy Economist, NAHB, Washington, DC 20005, 1-202-266-8398, Fax: 1-202-266-8575This paper estimate the differential impact of first-price sealed-bid (first-price) auctions relative to English auctions on auction revenue. While there is a theoretical literature on the potential outcomes of first-price relative to English auction, there is a paucity of articles that empirically estimate this relationship. The answer to this question is important not only to economists but also those designing auction for practical application. Using a unique dataset from tax lien auctions in Illinois, I empirically test the effect of a switch in auction type from English to first-price. I find auction revenue is greatly increased, by as much as 22 percent, under the first-price auction. The results are supported by a within county difference-in-difference model specification and are robust when restricting the sample across various specificationshttps://doi.org/10.2478/revecp-2014-0006property tax delinquencytax lien salesauction typeauction design |
| spellingShingle | Miller Joshua J. From English to First-Price Sealed Bid: An Empirical Assessment of the Change in Auction Type on Experienced Bidders Review of Economic Perspectives property tax delinquency tax lien sales auction type auction design |
| title | From English to First-Price Sealed Bid: An Empirical Assessment of the Change in Auction Type on Experienced Bidders |
| title_full | From English to First-Price Sealed Bid: An Empirical Assessment of the Change in Auction Type on Experienced Bidders |
| title_fullStr | From English to First-Price Sealed Bid: An Empirical Assessment of the Change in Auction Type on Experienced Bidders |
| title_full_unstemmed | From English to First-Price Sealed Bid: An Empirical Assessment of the Change in Auction Type on Experienced Bidders |
| title_short | From English to First-Price Sealed Bid: An Empirical Assessment of the Change in Auction Type on Experienced Bidders |
| title_sort | from english to first price sealed bid an empirical assessment of the change in auction type on experienced bidders |
| topic | property tax delinquency tax lien sales auction type auction design |
| url | https://doi.org/10.2478/revecp-2014-0006 |
| work_keys_str_mv | AT millerjoshuaj fromenglishtofirstpricesealedbidanempiricalassessmentofthechangeinauctiontypeonexperiencedbidders |