On procurement auctions of complementary goods
Année de publication: 2004
Número: 2
Type: Working Paper
Résumé
We compare sequential and bundle auctions in a framework of successive procurement situations, where current success positively affects future market opportunities and competition varies across projects. We find that - if allocation of the projects has to be ensured - bundle auctions with subsequent resale opportunities yield a lower and less risky overall price, whereas sequential procurement leads to the efficient outcome.