Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
9724502 | International Journal of Industrial Organization | 2005 | 19 Pages |
Abstract
We consider sequential construction contracts in which bidders may benefit from one auction to the next due to synergistic tasks across the projects auctioned. Theoretical considerations indicate that winners in the earlier auctions are more likely to participate in later auctions. Moreover, conditional on participation, past winners place lower bids, on average, and are so more likely to win in later auctions. We present evidence in support of these predictions using sequential construction auctions conducted by the Oklahoma Department of Transportation.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Dakshina G. De Silva, Thomas D. Jeitschko, Georgia Kosmopoulou,