Existence and Convergence of Equilibria in the Buyer's Bid Double Auction Export

@article{1991, abstract = {This paper concerns a Bayesian game model of the Buyer's Bid Double Auction, which is a procedure for organizing trade that selects a market-clearing price from a list of offers/bids. Strategic misrepresentation by traders may make the outcome of trade inefficient. Satterthwaite and Williams (1989) showed that misrepresentation and inefficiency quickly converge to zero as the number of traders on each side of the market increases. This is extended here to cases in which the number of buyers may differ from the number of sellers. The existence of equilibria in a generic instance of the model is also proven.}, author = {Williams, Steven R.}, citeulike-article-id = {4035348}, citeulike-linkout-0 = {http://www.jstor.org/stable/2297972}, journal = {The Review of Economic Studies}, keywords = {convergence, double-auction, efficiency}, number = {2}, pages = {351--374}, posted-at = {2009-02-11 15:12:54}, priority = {2}, publisher = {The Review of Economic Studies Ltd.}, title = {Existence and Convergence of Equilibria in the Buyer's Bid Double Auction}, url = {http://www.jstor.org/stable/2297972}, volume = {58}, year = {1991} }

TY - JOUR ID - 1991 L3 - citeulike-article-id:4035348 N2 - This paper concerns a Bayesian game model of the Buyer's Bid Double Auction, which is a procedure for organizing trade that selects a market-clearing price from a list of offers/bids. Strategic misrepresentation by traders may make the outcome of trade inefficient. Satterthwaite and Williams (1989) showed that misrepresentation and inefficiency quickly converge to zero as the number of traders on each side of the market increases. This is extended here to cases in which the number of buyers may differ from the number of sellers. The existence of equilibria in a generic instance of the model is also proven. IS - 2 JF - The Review of Economic Studies EP - 374 TI - Existence and Convergence of Equilibria in the Buyer's Bid Double Auction PB - The Review of Economic Studies Ltd. VL - 58 SP - 351 KW - convergence KW - double-auction KW - efficiency AU - Williams, Steven PY - 1991/// UR - http://www.jstor.org/stable/2297972 ER -