Search results
Results from the WOW.Com Content Network
In theory, this feature of the Dutch auction leads to more aggressive bidding, as those who (in this example) bid 5.115% receive the bonds at the lower price/higher yield of 5.130%. [citation needed] A variation on the Dutch auction, OpenIPO, was developed by Bill Hambrecht and has been used for a number of US IPOs. Auctions have been used for ...
Auction theory is a branch of applied economics that deals with how bidders act in auctions and researches how the features of auctions incentivise predictable outcomes. Auction theory is a tool used to inform the design of real-world auctions. Sellers use auction theory to raise higher revenues while allowing buyers to procure at a lower cost.
The Dutch auction is named for its best known example, the Dutch tulip auctions. ("Dutch auction" is also sometimes used to describe online auctions where several identical goods are sold simultaneously to an equal number of high bidders). [48] In addition to cut flower sales in the Netherlands, Dutch auctions have also been used for perishable ...
While a traditional Dutch Auction starts at a high bid which will then decrease, a Reverse Dutch Auction works the opposite way as it starts at a low price and then gradually increases over time. [25] It contains a list of items that buyers want to procure and the price rises after fixed intervals until a reserved price is reached.
Revenue equivalence is a concept in auction theory that states that given certain conditions, any mechanism that results in the same outcomes (i.e. allocates items to the same bidders) also has the same expected revenue.
He works on industrial economics, competition policy, auction theory, and climate change economics and policy. Having lived his early life in the Midlands where he attended the independent King Edward's School, Birmingham , [ 2 ] Klemperer went on to gain an engineering degree from Cambridge University , and an MBA and an economics PhD from ...
Get AOL Mail for FREE! Manage your email like never before with travel, photo & document views. Personalize your inbox with themes & tabs. You've Got Mail!
OpenIPO is a modified Dutch auction which allows shares of an initial public offering (IPO) to be allocated impartially. It is a variation on the traditional way that shares are sold during the IPO process and results in all successful bidders paying the same price per share.