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Pure Equilibrium Strategies in Multi-unit Auctions with Private Value Bidders

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  • Michal Bresky

Abstract

The paper examines a general class of multi-unit auctions. The class of games investigated includes uniform-price, pay-your-bid, all-pay and Vickrey auctions as special cases. The seller offers k identical units of goods and sets the minimum accepted bid. Bidders have atomless valuation distributions and they submit up to k bids. For this class, the existence of Nash equilibrium in a measurable strategy space and weakly increasing pure strategy space is proven. In many cases any equilibrium strategies can be modified in such a way that they form a pure strategy equilibrium. Properties of standard strategies in multi-unit auctions are analyzed.

Suggested Citation

  • Michal Bresky, 2008. "Pure Equilibrium Strategies in Multi-unit Auctions with Private Value Bidders," CERGE-EI Working Papers wp376, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
    • Handle: RePEc:cer:papers:wp376
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    References listed on IDEAS

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    Cited by:

    1. Bresky, Michal, 2013. "Revenue and efficiency in multi-unit uniform-price auctions," Games and Economic Behavior, Elsevier, vol. 82(C), pages 205-217.

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    More about this item

    Keywords

    Multiple-unit auction; existence of equilibrium in discontinuous games; all-pay; pay-your-bid and uniform-price auctions; auctions with reservation price.;
    All these keywords.

    JEL classification:

    • D44 - Microeconomics - - Market Structure, Pricing, and Design - - - Auctions

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