1999/12/01 by David Lucking‐Reiley · 2 citations
Decision Sciences · Business, Management and Accounting · #Auction Theory and Applications #Consumer Market Behavior and Pricing #Game Theory and Applications
paper · doi:10.1257/aer.89.5.1063
openalex publication_date 1999/12/01 · openalex created_date 2025/10/10 · openalex updated_date 2026/06/06
William Vickrey's predicted equivalences between first-price sealed-bid and Dutch auctions, and between second-price sealed-bid and English auctions, are tested using field experiments that auctioned off collectible trading cards over the Internet. The results indicate that the Dutch auction produces 30-percent higher revenues than the first-price auction format, a violation of the theoretical prediction and a reversal of previous laboratory results, and that the English and second-price formats produce roughly equivalent revenues. (JEL C93, D44)