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CPRC 37-E (233kb)	"Ratifiable Collusion and Bidding Systems in Procurement" (2009.2) Tadanobu Tanno (Atomi University) This study explores stability in efficient collusion in government procurement auctions. In first- and second-price auctions with independent private values, we look at the possibility of vetoing collusion mechanisms and the learning of the other bidders after vetoing. The collusions in first-price auctions in simple case and second-price auctions are stable against the competition after a potential veto to take part in bid-rigging. JEL classification codes: C72, D44, D82, L44, H57. Keywords: bid rigging, collusion, procurement, ratifiability

File （PDF)

Contents，Author

"Ratifiable Collusion and Bidding Systems in Procurement" (2009.2)
Tadanobu Tanno (Atomi University)

This study explores stability in efficient collusion in government procurement auctions. In first- and second-price auctions with independent private values, we look at the possibility of vetoing collusion mechanisms and the learning of the other bidders after vetoing. The collusions in first-price auctions in simple case and second-price auctions are stable against the competition after a potential veto to take part in bid-rigging.

JEL classification codes: C72, D44, D82, L44, H57.
Keywords: bid rigging, collusion, procurement, ratifiability