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Cheating in online auction - Towards explaining the popularity of English auction

机译:在线拍卖中作弊-试图解释英语拍卖的流行

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Action frauds constitute largest part of all Internet frauds. Cheating is a kind of fraud that does not have direct evidences of its occurrence. We conduct theoretical studies as well as simulation experiments to find out the effect of cheating in three important types of auctions: English auction, first-price sealed-bid, and second-price sealed-bid auction. Our cheating environment consists of shill bidding, bid shading and false bidding in English, first-price and second-price auction, respectively. In the experiments ordinary bidders, bidders with the equilibrium bidding strategy, and cheaters compete with each other. Both theoretical and experimental results confirm that the equilibrium bidding strategies indeed increases the bidders' expected utility. Therefore, it can be concluded that adoption of rational bidding strategies can combat cheating. It is found that most of the auction sites intuitively prefer English auction to other auction mechanisms. There is not much theoretical or experimental evidence to support such an intuition. We use honest bidder's expected gain and honest seller's revenue loss as a basis to compare these three important auctions types. The analysis of the results reveals English auction to be the most preferred mechanism from both honest buyer's and honest seller's point of view. This result can be used as an experimental evidence to explain the popularity of English auction over the Internet.
机译:行动欺诈是所有互联网欺诈的最大部分。作弊是一种欺诈,没有直接证据表明其发生。我们进行理论研究和模拟实验,以找出作弊在三种重要拍卖类型中的作用:英国拍卖,第一价格密封竞标和第二价格密封竞标。我们的作弊环境包括英语的低价竞标,竞价底纹和虚假竞标,第一价格拍卖和第二价格拍卖。在实验中,普通竞标者,具有均衡竞标策略的竞标者和作弊者相互竞争。理论和实验结果均证实,均衡竞标策略确实增加了竞标者的预期效用。因此,可以得出结论,采用合理的出价策略可以打击作弊行为。已经发现,大多数拍卖网站从直觉上看都比其他拍卖机制更喜欢英语拍卖。没有太多的理论或实验证据来支持这种直觉。我们以诚实出价者的预期收益和诚实卖方的收入损失为基础,比较这三种重要的拍卖类型。结果分析表明,无论是诚实买家还是诚实卖家,英国拍卖都是最受青睐的机制。该结果可作为实验证据来解释英语拍卖在互联网上的流行。

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