Bundling decisions for selling multiple objects

B-Tier
Journal: Economic Theory
Year: 1999
Volume: 13
Issue: 3
Pages: 723-733

Score contribution per author:

2.018 = (α=2.02 / 1 authors) × 1.0x B-tier

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

Abstract

Auctioneers often face the decision of whether to bundle two or more different objects before selling them. Under a Vickrey auction (or any other revenue equivalent auction form) there is a unique critical number for each pair of objects such that when the number of bidders is fewer than that critical number the seller strictly prefers a bundled sale and when there are more bidders the seller prefers unbundled sales. This property holds even when the valuations for the objects are correlated for a given bidder. The results have been proved using a mathematical technique of quantiles that can be extremely useful for similar analysis.

Technical Details

RePEc Handle
repec:spr:joecth:v:13:y:1999:i:3:p:723-733
Journal Field
Theory
Author Count
1
Added to Database
2026-01-25