Abstract
The paper reports an analysis of price behaviour at a fish market which is organised as a sequence of descending-price auctions and which is attended by two different types of buyers: retailers and wholesalers. The main outcome of this study is that although each type of buyer paid different prices for quality-corrected lots of fish, the trends of prices are not significantly affected by buyers' asymmetric preferences and behaviours. In addition, the observed trends are best explained by Milgrom and Weber (1982) benchmark model which assumes symmetric risk neutral buyers and by its variations which assume risk averse buyers or an uncertain supply.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.