DOI link to open access article:
Timing and presentation effects in sequential auctions
Ola Andersson, Tommy Andersson
Journal of Mechanism and Institution Design
Volume 2, issue 1, pages 39-55 (December 2017)
This paper investigates two hitherto unexplored dimensions inherent in online sequential auctions, namely, how the time elapsed between the end of an auction and the end of the next one and the order of presentation on the website affect prices. Using a state-of-the-art-dataset on train-ticket auctions with a particular institutional design feature that enables a causal interpretation of these dimensions, it is demonstrated that both dimensions have a significant impact on price formation in sequential auctions.
Keywords: Sequential auctions, presentation order, timing afternoon effect.
JEL Classification Numbers: D02, D44.