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학술대회자료

This paper studies privatization problems, in which a social planner sells an indivisible object to one of the agents with private valuations (types), and explains the coexistence of auctions and consortia in practice with cooperative incentive in collusive bidding behaviors. By using the theory of optimal mechanism design with dominant strategy equilibria, we show the universal existence of bidding rings (entities that exercise collusive bidding in practice) without any restriction of independent types as in the literature of collusive bidding.

Abstract

1. Introduction

2. The Model and Preliminaries

3. Optimal Mechanism Approach

4. Discussions

References

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