Private Information Revelation in Common-Value Auctions

Vlad N. Mares, Ronald M. Harstad
2002 Social Science Research Network  
When a seller has information that could help bidders to estimate asset value, a dictum of auction theory has been that all such information should be publicly announced to bidders. The possibility of privately revealing this information to one or more bidders is introduced. Seller in some circumstances may attain higher expected revenue through revealing his information privately. Examples show that the role of private revelation is more complex than simply generating bidder asymmetry. *
more » ... to Jeroen Swinkels for assisting with equilibrium selection, and to anonymous referees for useful comments and suggestions.
doi:10.2139/ssrn.334360 fatcat:rhdewhw7abbthmurxoanr467lm