Estimation and inference of seller’s expected revenue in first-price auctions

A-Tier
Journal: Journal of Econometrics
Year: 2024
Volume: 241
Issue: 1

Score contribution per author:

4.022 = (α=2.01 / 1 authors) × 2.0x A-tier

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

Abstract

I propose an estimator for the seller’s expected revenue function in a first-price sealed-bid auction with independent private values and symmetric bidders, who can exhibit constant relative risk aversion and bid according to the Bayesian Nash equilibrium. I build the proposed estimator from pseudo-private values, which can be estimated from observed bids, and show that it is pointwise and uniformly consistent: the corresponding optimal nonparametric rates of convergence can be achieved. Then I construct asymptotically valid confidence intervals and uniform confidence bands. Suggestions for critical values are based on first-order asymptotics, as well as on the bootstrap method.

Technical Details

RePEc Handle
repec:eee:econom:v:241:y:2024:i:1:s0304407624000800
Journal Field
Econometrics
Author Count
1
Added to Database
2026-01-29