Econometrica

Journal Of The Econometric Society

An International Society for the Advancement of Economic
Theory in its Relation to Statistics and Mathematics

Edited by: Guido W. Imbens • Print ISSN: 0012-9682 • Online ISSN: 1468-0262

Econometrica: Nov, 1984, Volume 52, Issue 6

Optimal Auctions with Risk Averse Buyers

https://doi.org/0012-9682(198411)52:6<1473:OAWRAB>2.0.CO;2-0
p. 1473-1518

Eric Maskin, John Riley

We characterize a seller's optimal scheme for the sale of an indivisible good to one of n risk averse buyers. We also compare certain commonly used schemes, such as the high bid and second bid auctions, under the hypothesis of risk aversion.


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