Auction design has been studied extensively; however, within a given design, does the process of how an auction is conducted matter as well? We address this question by looking for heterogeneity in the performance of auctioneers in English auctions. We analyze over 850,000 wholesale used car auctions and find significant differences across auctioneers in outcomes for otherwise similar cars. The performance heterogeneities are stable across time and correlate with subjective evaluations by the auction house. We discuss the mechanisms driving differential performance and find evidence suggesting a role for tactics that generate bidder excitement or urgency.
Lacetera, N., Larsen, B.J., Pope, D.G., Sydnor, J.R. (2016). Bid Takers or Market Makers? The Effect of Auctioneers on Auction Outcome. AMERICAN ECONOMIC JOURNAL: MICROECONOMICS, 8(4), 195-229 [10.1257/mic.20150020].
Bid Takers or Market Makers? The Effect of Auctioneers on Auction Outcome
Lacetera, Nicola;
2016
Abstract
Auction design has been studied extensively; however, within a given design, does the process of how an auction is conducted matter as well? We address this question by looking for heterogeneity in the performance of auctioneers in English auctions. We analyze over 850,000 wholesale used car auctions and find significant differences across auctioneers in outcomes for otherwise similar cars. The performance heterogeneities are stable across time and correlate with subjective evaluations by the auction house. We discuss the mechanisms driving differential performance and find evidence suggesting a role for tactics that generate bidder excitement or urgency.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
