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If each person’s private valuation is common knowledge, then in the equilibrium all the persons with valuation greater than v101 will arrive simultaneously at the waiting line at the time that waiting cost is equal to v101. All others will not come to the waiting line.
If each person’s private valuation is not common knowledge, then you may find the following paper useful:
"Waiting-Line Auctions," (Charles A. Holt and R. Sherman), Journal of Political Economy, 90(2), April 1982, 280-292. [Manage messages]
07/30/2006 03:34 AM by Stella; multiunit auction | Thanks very much for the help with the coordination game. I have another problem that I need help with:
200 people are waiting in line for a movie, only 100 can be admitted. The price of admission is expressed in the amount of time [View full text and thread]
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