Working paper icon

Working paper

Competitive equilibrium and the double auction

Abstract:

In this paper, we revisit the common claim that double auctions necessarily generate competitive equilibria. We begin by observing that competitive equilibrium has some counterintuitive implications: specifically, it predicts that monotone shifts in the value distribution can leave prices unchanged. Using experiments, we then test whether these implications are borne out by the data. We find that in double auctions with stationary value distributions, the resulting prices can be far from comp...

Expand abstract
Publication status:
Published

Actions


Access Document


Files:
Publication website:
https://www.economics.ox.ac.uk/publication/1266705/hyrax

Authors


More by this author
Institution:
University of Oxford
Division:
SSD
Department:
Economics
Oxford college:
Exeter College
Role:
Author
Publisher:
University of Oxford Publisher's website
Series:
Department of Economics Discussion Paper Series
Place of publication:
Oxford
Publication date:
2022-07-03
ISSN:
1471-0498
Paper number:
974
Language:
English
Keywords:
Pubs id:
1266705
Local pid:
pubs:1266705
Deposit date:
2022-07-06

Terms of use


Views and Downloads






If you are the owner of this record, you can report an update to it here: Report update to this record

TO TOP