Putting Auction Theory to Work

Hardcover (Print)
Buy New
Buy New from BN.com
$109.04
Used and New from Other Sellers
Used and New from Other Sellers
from $83.76
Usually ships in 1-2 business days
(Save 29%)
Other sellers (Hardcover)
  • All (6) from $83.76   
  • New (3) from $101.95   
  • Used (3) from $83.76   

Overview

This book provides a comprehensive introduction to modern auction theory and its important new applications. It is written by a leading economic theorist whose suggestions guided the creation of the new spectrum auction designs. Aimed at graduate students and professionals in economics, the book gives the most up-to-date treatments of both traditional theories of 'optimal auctions' and newer theories of multi-unit auctions and package auctions, and shows by example how these theories are used. The analysis explores the limitations of prominent older designs, such as the Vickrey auction design, and evaluates the practical responses to those limitations. It explores the tension between the traditional theory of auctions with a fixed set of bidders, in which the seller seeks to squeeze as much revenue as possible from the fixed set, and the theory of auctions with endogenous entry, in which bidder profits must be respected to encourage participation.
Read More Show Less

Editorial Reviews

From the Publisher
"Paul Milgrom has combined fundamental work in economic theory and, in particular, the theory of auctions, with extensive practical participation in the auctions of the electromagnetic spectrum. This book is a brilliant synthesis of his own and others' contributions to the field. The impact of practical problems on the need for theory is thoroughly exemplified. The exposition of the theory has that complete ease only achievable through complete mastery and intense work." Kenneth Arrow, Nobel Laureate, Stanford University

"One of the recent revolutions in economics is an understanding that markets do not automatically work well. Design matters, and the Federal Communications Commission spectrum auction design that Milgrom pioneered kicked off a new era of market design using economic theory to make real markets work better. Now, Milgrom makes the underlying ideas and theories more widely accessible—so other markets too will reap the benefits of these insights." Joseph Stiglitz, Nobel Laureate, Columbia University

"Whether you are an expert on auction theory or just a novice curious about how auction theory works, you will be in for a marvelous journey. There's no one better at capturing the essence and generality of economic ideas than Paul Milgrom. He's a master in a class of his own." Bengt Holmstrom, Massachusetts Institute of Technology

"Milgrom's ideas were critical to helping the FCC design its multi-billion dollar spectrum auctions. His thoughtful economic reasoning and attention to practical detail made the auctions successful. Whether you are seeking careful theorizing or practical insights, Milgrom's work is the first place to look." Reed Hundt, Former Chair, Federal Communications Commission

"Paul Milgrom is universally acclaimed as one of the outstanding economic theorists of our generation. He has turned auction theory into the crucial tool for modern market design. His book will be an essential resource for theorists and practitioners alike." Paul Klemperer, University of Oxford

"In Paul Milgrom's hands, auction theory has become the great culmination of game theory and economics of information. Here elegant mathematics meets practical applications and yields deep insights into the general theory of markets. Milgrom's book will be the definitive reference in auction theory for decades to come." Roger Myerson, University of Chicago

"Market design is one of the most exciting developments in contemporary economics and game theory, and who can resist a master class from one of the giants of the field?" Al Roth, Harvard University

"No one is better qualified than Paul Milgrom to give an up-to-date and lucid guide to the accomplishments of auction theory. Both rigorous and enjoyable to read, this exciting book is a must for graduate students and auction designers." Jean Tirole, Institut d'Economie Industrielle, Toulouse, France

Read More Show Less

Product Details

  • ISBN-13: 9780521551847
  • Publisher: Cambridge University Press
  • Publication date: 2/29/2004
  • Series: Churchill Lectures in Economics Series
  • Pages: 392
  • Product dimensions: 5.98 (w) x 8.98 (h) x 0.98 (d)

Table of Contents

Section 1. Getting to Work: 1. Politics sets the stage; 2. Designing for multiple goals; 3. Comparing seller revenues; 4. The academic critics; 5. Plan for this book; Part I. The Mechanism Design Approach; Section 2. Vickrey-Clarke-Groves Mechanisms: 6. Formulation; 7. Always optimal and weakly dominant strategies; 8. Balancing the budget; 9. Uniqueness; 10. Disadvantages of the Vickrey auction; 11. Conclusion; Section 3. The Envelope Theorem and Payoff Equivalence: 12. Hottelling's lemma; 13. The envelope theorem in integral form; 14. Quasi-linear payoffs; 15. Conclusion; Section 4. Bidding Equilibrium and Revenue Differences: 16. The single crossing conditions; 17. Deriving and verifying equilibrium strategies; 18. Revenue comparisons in the benchmark model; 19. Expected-revenue maximizing auctions; 20. Conclusion; Section 5. Interdependence of Types and Values: 21. Which models and assumptions are 'useful'?; 22. Statistical dependence and revenue-maximizing auctions; 23. Wilson's drainage tract model; 24. Correlated types model interdependent values; 25. Conclusion; Section 6. Auctions in Context: 26. The profit and surplus contribution of an entrant; 27. Symmetric models with costly entry; 28. Asymmetric models: devices to promote competition; 29. After the bidding ends; 30. Conclusion; Part II. Multi-Unit Auctions; Section 7. Uniform Price Auctions: 31. Uniform price sealed bid auctions; 32. Simultaneous ascending auctions; 33. Conclusion; Section 8. Package Auctions and Combinatorial Bidding: 34. Vickrey auctions and the monotonicity problems; 35. Bernheim-Whinston first-price package auctions; 36. Ausubel-Milgrom ascending proxy auctions; 37. Conclusion.

Read More Show Less

Customer Reviews

Be the first to write a review
( 0 )
Rating Distribution

5 Star

(0)

4 Star

(0)

3 Star

(0)

2 Star

(0)

1 Star

(0)

Your Rating:

Your Name: Create a Pen Name or

Barnes & Noble.com Review Rules

Our reader reviews allow you to share your comments on titles you liked, or didn't, with others. By submitting an online review, you are representing to Barnes & Noble.com that all information contained in your review is original and accurate in all respects, and that the submission of such content by you and the posting of such content by Barnes & Noble.com does not and will not violate the rights of any third party. Please follow the rules below to help ensure that your review can be posted.

Reviews by Our Customers Under the Age of 13

We highly value and respect everyone's opinion concerning the titles we offer. However, we cannot allow persons under the age of 13 to have accounts at BN.com or to post customer reviews. Please see our Terms of Use for more details.

What to exclude from your review:

Please do not write about reviews, commentary, or information posted on the product page. If you see any errors in the information on the product page, please send us an email.

Reviews should not contain any of the following:

  • - HTML tags, profanity, obscenities, vulgarities, or comments that defame anyone
  • - Time-sensitive information such as tour dates, signings, lectures, etc.
  • - Single-word reviews. Other people will read your review to discover why you liked or didn't like the title. Be descriptive.
  • - Comments focusing on the author or that may ruin the ending for others
  • - Phone numbers, addresses, URLs
  • - Pricing and availability information or alternative ordering information
  • - Advertisements or commercial solicitation

Reminder:

  • - By submitting a review, you grant to Barnes & Noble.com and its sublicensees the royalty-free, perpetual, irrevocable right and license to use the review in accordance with the Barnes & Noble.com Terms of Use.
  • - Barnes & Noble.com reserves the right not to post any review -- particularly those that do not follow the terms and conditions of these Rules. Barnes & Noble.com also reserves the right to remove any review at any time without notice.
  • - See Terms of Use for other conditions and disclaimers.
Search for Products You'd Like to Recommend

Recommend other products that relate to your review. Just search for them below and share!

Create a Pen Name

Your Pen Name is your unique identity on BN.com. It will appear on the reviews you write and other website activities. Your Pen Name cannot be edited, changed or deleted once submitted.

 
Your Pen Name can be any combination of alphanumeric characters (plus - and _), and must be at least two characters long.

Continue Anonymously

    If you find inappropriate content, please report it to Barnes & Noble
    Why is this product inappropriate?
    Comments (optional)