Research output: Contribution to Journal/Magazine › Journal article › peer-review
Research output: Contribution to Journal/Magazine › Journal article › peer-review
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TY - JOUR
T1 - Sequential Bidding in Auctions of Construction Contracts
AU - De Silva, Dakshina G.
AU - Dunne, Timothy
AU - Kosmopoulou, Georgia
PY - 2002/7
Y1 - 2002/7
N2 - We analyze bidding patterns in morning and afternoon auctions of construction contracts. We find no statistically significant difference in the probability to bid in the afternoon between those who won and those who lost in morning sessions. As a result, the information released in the morning increases the observable asymmetries and affects bidding behavior. Firms that win in the morning bid more aggressively, in the absolute sense, in the afternoon. However, those who lost in morning sessions bid more aggressively, relative to their morning bids, than those who won in the morning.
AB - We analyze bidding patterns in morning and afternoon auctions of construction contracts. We find no statistically significant difference in the probability to bid in the afternoon between those who won and those who lost in morning sessions. As a result, the information released in the morning increases the observable asymmetries and affects bidding behavior. Firms that win in the morning bid more aggressively, in the absolute sense, in the afternoon. However, those who lost in morning sessions bid more aggressively, relative to their morning bids, than those who won in the morning.
KW - Asymmetric auctions
U2 - 10.1016/S0165-1765(02)00041-1
DO - 10.1016/S0165-1765(02)00041-1
M3 - Journal article
VL - 76
SP - 239
EP - 244
JO - Economics Letters
JF - Economics Letters
SN - 0165-1765
IS - 2
ER -