Efficient dark markets

B-Tier
Journal: Economic Theory
Year: 2015
Volume: 59
Issue: 3
Pages: 605-624

Score contribution per author:

2.011 = (α=2.01 / 1 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This paper studies a standard dynamic trading environment with asymmetric information. A trading mechanism, called a dark market, is proposed that achieves allocative efficiency (i.e., maximizes the total surplus). The mechanism’s critical feature is that it conceals from traders the history of past trades. Under plausible conditions, the dark market is stable (i.e., impervious to non-conforming trades offered by an entrant market-maker). Copyright Springer-Verlag Berlin Heidelberg 2015

Technical Details

RePEc Handle
repec:spr:joecth:v:59:y:2015:i:3:p:605-624
Journal Field
Theory
Author Count
1
Added to Database
2026-01-28