Risk aversion in share auctions: Estimating import rents from TRQs in Switzerland
份额拍卖中的风险厌恶:瑞士关税配额进口租金估计
This paper analyzes risk aversion in discriminatory share auctions. I generalize the k ‐step share auction model of Kastl (2011, 2012) and establish that marginal profits are set‐identified for any given coefficient of constant absolute risk aversion. I also derive necessary conditions for best‐response behavior, which allows determining risk preferences from bidding data. Further, I show how the bidders' optimality conditions allow computing bounds on the marginal profits…