Preprint A368/2005
Pure Strategy Equilibria of Single and Double Auctions with Interdependent Values
Luciano de Castro | Araujo, Aloisio
Keywords: equilibrium existence in auctions | pure strategy Nash equilibrium | tie-breaking rule
We prove the existence of monotonic pure strategy equilibrium for many types of asymmetric auctions between n bidders with unitary demands, interdependent values and independent types. The assumptions require monotonicity only in the own bidder’s type and the payments can be function of all bids. Thus, we provide a new equilibrium existence result for asymmetrical double auctions.