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Journal Article
Depth and Efficiency of Large Double Auctions
Econometrica
Author(s)
We consider large double auctions with private values. Values need be neither symmetric
nor independent. Multiple units may be owned or desired. Participation may be
stochastic. We introduce a very mild notion of “a little independence.” We prove that
all nontrivial equilibria of auctions that satisfy this notion are asymptotically efficient.
For any ? > 0 inefficiency disappears at rate 1/n2??.
Date Published:
2006
Citations:
Swinkels, Jeroen, Martin Cripps. 2006. Depth and Efficiency of Large Double Auctions. Econometrica. (1)47-92.