Bidding on Price and Quality: An Experiment on the Complexity of Scoring Rule Auctions
The result's identifiers
Result code in IS VaVaI
<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216224%3A14560%2F25%3A00140165" target="_blank" >RIV/00216224:14560/25:00140165 - isvavai.cz</a>
Result on the web
<a href="https://direct.mit.edu/rest/article-abstract/doi/10.1162/rest_a_01288/114759/Bidding-on-Price-and-Quality-An-Experiment-on-the?redirectedFrom=fulltext" target="_blank" >https://direct.mit.edu/rest/article-abstract/doi/10.1162/rest_a_01288/114759/Bidding-on-Price-and-Quality-An-Experiment-on-the?redirectedFrom=fulltext</a>
DOI - Digital Object Identifier
<a href="http://dx.doi.org/10.1162/rest_a_01288" target="_blank" >10.1162/rest_a_01288</a>
Alternative languages
Result language
angličtina
Original language name
Bidding on Price and Quality: An Experiment on the Complexity of Scoring Rule Auctions
Original language description
We experimentally study procurement auctions when both quality and price matter. We compare two treatments where sellers compete on one dimension only (price or quality), with three treatments where sellers submit a price-quality bid and the winner is determined by a scoring rule that combines the two offers. We find that, in the scoring rule treatments, efficiency and buyer's utility are lower than predicted. Estimates from a Quantal Response Equilibrium model suggest that increasing the dimension of the strategy space imposes a complexity burden on sellers, so that a simpler mechanism like a quality-only auction may be preferable.
Czech name
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Czech description
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Classification
Type
J<sub>imp</sub> - Article in a specialist periodical, which is included in the Web of Science database
CEP classification
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OECD FORD branch
50202 - Applied Economics, Econometrics
Result continuities
Project
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Continuities
I - Institucionalni podpora na dlouhodoby koncepcni rozvoj vyzkumne organizace
Others
Publication year
2025
Confidentiality
S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů
Data specific for result type
Name of the periodical
REVIEW OF ECONOMICS AND STATISTICS
ISSN
0034-6535
e-ISSN
1530-9142
Volume of the periodical
107
Issue of the periodical within the volume
3
Country of publishing house
US - UNITED STATES
Number of pages
16
Pages from-to
755-770
UT code for WoS article
001494264900019
EID of the result in the Scopus database
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