Recent papers show that all-pay auction is better at raising money for charity than first-price auction with symmetric bidders and under incomplete information. Yet, this result is lost with bidders enough asymmetric and under complete information. In this paper, we consider a framework on charity auctions with asymmetric bidders under some incomplete information. We determine all-pay auction still runs more money than first-price auction. Thus, all-pay auctions should be seriously considered when one wants to organize a charity auction.
JUN192009
Charitable Asymmetric Bidders
- Speaker(s)
- Olivier Bos (Paris School of Economics and Université Catholique de Louvain)
- Date
- 2009-06-19
- Location
- Amsterdam