New research note on cashless auctions
Our spectrum auctions dossier has been updated to reflect the latest thinking on auction formats.
Spectrum auctions have been used to assign spectrum for over 30 years. As our spectrum auction dossier shows, there are a variety of auction designs, which regulators adapt according to their policy goals.
A regulator has to make a range of decisions when designing and implementing a spectrum auction. Geoffrey Myers, Visiting Professor in Practice at the LSE, identified 17 categories in his recent book on spectrum auctions. Ultimately, each design has both strengths and weaknesses.
In a new research note, which has just been added to our spectrum auctions dossier, we examine the concept of cashless auctions. This is a new branch in auction design, though there are some similarities with beauty contests.
The note describes features that could be considered to contribute to a “cashless” auction and the policy goals that a regulator choosing this design may seek to address. It also outlines the key challenges regulators must consider when designing a cashless auction.
The updated Spectrum Auctions Dossier, including the new research note on cashless auctions, is available to Spectrum Research Service subscribers here.