Dictionary :: Auctions

Glossary of game theory terms.

Auctions

A market mechanism in which an object, service, or set of objects, is exchanged on the basis of bids submitted by participants. Auctions provide a specific set of rules that will govern the sale or purchase (procurement auction) of an object to the submitter of the most favorable bid. The specific mechanisms of the auction include first and second price auctions, and English and and Dutch auctions.

updated: 12 August 2005
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