ssa_calibrate: Second score auction calibration

In mergersim: Merger Simulation and Calibration

Second score auction calibration

Description

Second score auction calibration

Usage

ssa_calibrate(param, own, price, share, cost, weight = NA)

Arguments

param	The price coefficient alpha to be calibrated
own	Ownership matrix
price	Price
share	Share
cost	Marginal costs for each product
weight	Weighting vector of length equal to number of observed costs

Details

This function calculate the first-order conditions from a second score auction model of competition

Value

The first-order conditions

Examples

own_pre = diag(3)
p0 <- c(.05, .34, .33)
share1 <- c( 0.31, 0.27, 0.25)
c_j <- c(.05,.31,.30)
wt_vector <- c(1,1,1)

ssa_calibrate(param = -1,own = own_pre,price=p0,share=share1,cost=c_j,
              weight = wt_vector)

mergersim documentation built on July 21, 2026, 5:09 p.m.