An Algorithmic Approach to Multi-Item Auctions with Indivisibles
(2010) NEKM01 20101Department of Economics
- Abstract
- In this essay the problem of finding fair equilibria in auctions with multiple heterogeneous and indivisible items is investigated. We assume an equal number of bidders demanding items as number of items, and that every bidder is assigned exactly one item. Among the theoretical results we show the existence of an equilibrium, strategy-proofness for a particular set of prices and convergence of the algorithm proposed by Demange, Gale and Sotomayor (Journal of Political Economy, 94:863-872, 1986). Furthermore, we suggest some alternative algorithms and evaluate a pair of them in a computer based simulation study. The clear conclusion is that the ED-Algorithm, a special case of the algorithm by Andersson, Andersson and Talman (Working paper,... (More)
- In this essay the problem of finding fair equilibria in auctions with multiple heterogeneous and indivisible items is investigated. We assume an equal number of bidders demanding items as number of items, and that every bidder is assigned exactly one item. Among the theoretical results we show the existence of an equilibrium, strategy-proofness for a particular set of prices and convergence of the algorithm proposed by Demange, Gale and Sotomayor (Journal of Political Economy, 94:863-872, 1986). Furthermore, we suggest some alternative algorithms and evaluate a pair of them in a computer based simulation study. The clear conclusion is that the ED-Algorithm, a special case of the algorithm by Andersson, Andersson and Talman (Working paper, Department of Economics, Lund University, 2010), is the better one. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/1612257
- author
- Gudmundsson, Jens LU
- supervisor
- organization
- course
- NEKM01 20101
- year
- 2010
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- indivisible items, multi-item auctions, simulation study, fairness
- language
- English
- id
- 1612257
- date added to LUP
- 2010-06-22 11:04:14
- date last changed
- 2010-06-22 11:04:14
@misc{1612257, abstract = {{In this essay the problem of finding fair equilibria in auctions with multiple heterogeneous and indivisible items is investigated. We assume an equal number of bidders demanding items as number of items, and that every bidder is assigned exactly one item. Among the theoretical results we show the existence of an equilibrium, strategy-proofness for a particular set of prices and convergence of the algorithm proposed by Demange, Gale and Sotomayor (Journal of Political Economy, 94:863-872, 1986). Furthermore, we suggest some alternative algorithms and evaluate a pair of them in a computer based simulation study. The clear conclusion is that the ED-Algorithm, a special case of the algorithm by Andersson, Andersson and Talman (Working paper, Department of Economics, Lund University, 2010), is the better one.}}, author = {{Gudmundsson, Jens}}, language = {{eng}}, note = {{Student Paper}}, title = {{An Algorithmic Approach to Multi-Item Auctions with Indivisibles}}, year = {{2010}}, }