Jump to ContentJump to Main Navigation
Show Summary Details

The B.E. Journal of Theoretical Economics

Editor-in-Chief: Schipper, Burkhard

Ed. by Fong, Yuk-fai / Peeters, Ronald / Puzzello , Daniela / Rivas, Javier / Wenzelburger, Jan

2 Issues per year

IMPACT FACTOR increased in 2015: 0.412
5-year IMPACT FACTOR: 0.471

SCImago Journal Rank (SJR) 2015: 0.458
Source Normalized Impact per Paper (SNIP) 2015: 0.553
Impact per Publication (IPP) 2015: 0.329

Mathematical Citation Quotient (MCQ) 2015: 0.16

See all formats and pricing


30,00 € / $42.00 / £23.00

Get Access to Full Text

Multiple-Object Auctions Around a Circle

Qinghua Zhang
  • 1University of Texas at Austin,
Published Online: 2004-02-03 | DOI: https://doi.org/10.2202/1534-598X.1120

This paper explores a multiple-object auction with the following three features: First, there is a capacity constraint, as each bidder can win at most one object from the auction. Second, the objects for sale and the bidders are located around the unit circle. A bidder's valuation of a certain object depends solely on the location of the object relative to the bidder; that is, on the distance between the object and the bidder. Third, instead of turning in separate bids on different objects, each bidder just states his location on the unit circle. His bids on different objects can then be derived from his stated location.The paper demonstrates that the Groves-Clarke logic applies to this particular setting, and it designs an auction mechanism that is ex-post efficient, under the capacity constraint, and incentive compatible. The paper also extends the Revenue Equivalence Theorem to this particular setting, using a proof different from Engelbrecht-Wiggans'(1988), by imposing less strict regularity conditions. Based on the circle setting, the paper shows that, with symmetric bidders, for any two different auction mechanisms applying the same allocation rule, the locations on the circle at which a bidder obtains the lowest expected payoff from either of these two mechanisms are the same. This location serves as the benchmark location to the circle version of the Revenue Equivalence Theorem in this paper.

Keywords: multiple object auctions; circle; revenue equivalence

Published Online: 2004-02-03

Citation Information: Topics in Theoretical Economics. Volume 4, Issue 1, ISSN (Online) 1534-598X, DOI: https://doi.org/10.2202/1534-598X.1120, February 2004

Citing Articles

Here you can find all Crossref-listed publications in which this article is cited. If you would like to receive automatic email messages as soon as this article is cited in other publications, simply activate the “Citation Alert” on the top of this page.

Qinghua Zhang
Regional Science and Urban Economics, 2007, Volume 37, Number 5, Page 568

Comments (0)

Please log in or register to comment.