A note on the wallet game with discrete bid levels

C-Tier
Journal: Economics Letters
Year: 2017
Volume: 159
Issue: C
Pages: 177-179

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

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

Abstract

It is well-known that in the wallet game with two bidders, bidding twice the (individual) signal is an equilibrium. We prove that this strategy is never an equilibrium in a Japanese–English auction once discrete bid levels are introduced; we also discuss the implications of this result.

Technical Details

RePEc Handle
repec:eee:ecolet:v:159:y:2017:i:c:p:177-179
Journal Field
General
Author Count
2
Added to Database
2026-01-25