Empirical tests of information aggregation

  • Yin P
  • 0


    Mendeley users who have this article in their library.
  • 4


    Citations of this article.


This paper proposes tests to empirically examine whether auction prices aggregate information away from the limit. These tests are applied to a unique data set containing winning bids and measures of the value and dispersion of information signals in eBay auctions for computers. Results suggest that prices partially aggregate information but do not converge to the common value. Even away from the limit, more bidders and stronger information have a significant effect on the convergence of prices and information aggregation. Even partial information aggregation may represent a potential efficiency gain over one-to-one trade of used goods with uncertain common values. © 2007 Elsevier B.V. All rights reserved.

Author-supplied keywords

  • Auctions
  • Information
  • eBay

Get free article suggestions today

Mendeley saves you time finding and organizing research

Sign up here
Already have an account ?Sign in

Find this document


  • Pai Ling Yin

Cite this document

Choose a citation style from the tabs below

Save time finding and organizing research with Mendeley

Sign up for free