Decomposing the Afternoon Effect: An Empirical Investigation of Sequential Train Ticket Auctions
(2015) In Working Paper / Department of Economics, School of Economics and Management, Lund University- Abstract
- The afternoon effect, i.e., that prices in a sequence of auctions with identical items are decreasing with the order in which the auctions are terminated, is a frequently observed phenomenon in empirical auction studies. Using an unsurpassed amount of data from sequential online train ticket auctions, we investigate two hitherto unexplored dimensions inherent in sequential auctions, namely, the timing of auction ends and the presentation order of the auctions in a sequence. We find that both these dimensions are important for price formation in sequential auctions, but even when controlling for them, a sizable afternoon effect remains.
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/8051649
- author
- Andersson, Ola and Andersson, Tommy LU
- organization
- publishing date
- 2015
- type
- Working paper/Preprint
- publication status
- published
- subject
- keywords
- sequential auctions, afternoon effect, presentation order, timing
- in
- Working Paper / Department of Economics, School of Economics and Management, Lund University
- issue
- 28
- pages
- 12 pages
- publisher
- Department of Economics, Lund University
- language
- English
- LU publication?
- yes
- id
- 888998d1-3337-424d-8d74-77ccb1dce8b7 (old id 8051649)
- alternative location
- http://swopec.hhs.se/lunewp/abs/lunewp2015_028.htm
- date added to LUP
- 2016-04-04 11:09:12
- date last changed
- 2018-11-21 21:03:00
@misc{888998d1-3337-424d-8d74-77ccb1dce8b7, abstract = {{The afternoon effect, i.e., that prices in a sequence of auctions with identical items are decreasing with the order in which the auctions are terminated, is a frequently observed phenomenon in empirical auction studies. Using an unsurpassed amount of data from sequential online train ticket auctions, we investigate two hitherto unexplored dimensions inherent in sequential auctions, namely, the timing of auction ends and the presentation order of the auctions in a sequence. We find that both these dimensions are important for price formation in sequential auctions, but even when controlling for them, a sizable afternoon effect remains.}}, author = {{Andersson, Ola and Andersson, Tommy}}, keywords = {{sequential auctions; afternoon effect; presentation order; timing}}, language = {{eng}}, note = {{Working Paper}}, number = {{28}}, publisher = {{Department of Economics, Lund University}}, series = {{Working Paper / Department of Economics, School of Economics and Management, Lund University}}, title = {{Decomposing the Afternoon Effect: An Empirical Investigation of Sequential Train Ticket Auctions}}, url = {{http://swopec.hhs.se/lunewp/abs/lunewp2015_028.htm}}, year = {{2015}}, }