AuctionCap-Methods: Auction Cap Methods

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Auction Cap Methods

Description

calcBuyerExpectedCost computes the expected amount that the buyer will pay to the auction winner.

calcBuyerValuation computes the value to the buyer of the outside option.

calcExpectedLowestCost computes the expected lowest cost of the winning bid.

calcExpectedPrice computes the expected price paid by the buyer.

calcOptimalReserve computes the bidder's optimal reserve price.

calcSellerCostParms calibrates the parameters of the Seller Cost CDF, as well as the reserve price, if not supplied.

cdfG calculates the probability that a cost draw less than or equal to ‘c’ is realized for each firm. If ‘c’ is not supplied, the buyer reserve and total capacity is used.

Usage

## S4 method for signature 'Auction2ndCap'
calcSellerCostParms(object, ...)

## S4 method for signature 'Auction2ndCap'
calcBuyerValuation(object)

## S4 method for signature 'Auction2ndCap'
calcOptimalReserve(object, preMerger = TRUE, lower, upper)

## S4 method for signature 'Auction2ndCap'
calcBuyerExpectedCost(object, preMerger = TRUE)

## S4 method for signature 'Auction2ndCap'
cdfG(object, c, preMerger = TRUE)

## S4 method for signature 'Auction2ndCap'
calcExpectedPrice(object, preMerger = TRUE)

## S4 method for signature 'Auction2ndCap'
calcExpectedLowestCost(object, preMerger = TRUE)

Arguments

object	An instance of the respective class (see description for the classes)
...	Additional arguments to pass to calcSellerCostParms
preMerger	If TRUE, the pre-merger ownership structure is used. If FALSE, the post-merger ownership structure is used. Default is TRUE.
lower	The minimum for the bidder's reserve price.
upper	The maximum for the bidder's reserve price.
c	cdfG calculates the probability that a cost draw less than or equal to ‘c’ is realized for each firm. If ‘c’ is not supplied, the buyer reserve and total capacity is used.

Author(s)

Charles Taragin [e-mail]

Examples

showMethods(classes="Auction2ndCap") # show all methods defined for the class

antitrust documentation built on Aug. 24, 2022, 9:05 a.m.