Rggi Auction Design Flaw: Separate Sealed-bid Auctions for Substitute Goods Poses Needless Risks for Bidders
Michael Giberson The RGGI auction design final report released in October 2007, which contains the proposed auction design for the sale of RGGI CO2 permits, overall presents a thorough examination of the market design problem and a well-thought out justification for their final design proposal. There is, however, one serious flaw that threatens the efficiency …