proc_optimal_ceiling: Optimal price ceiling for a procurement auction

In qdfauction: Nonparametric Quantile Density Estimation and Structural Analysis of First-Price Auctions

Optimal price ceiling for a procurement auction

Description

Mirrors fpa_optimal_reserve_qd on the reflected fit. An interior optimum satisfies r^* + F_c(r^*)/f_c(r^*) = v_0. The estimate depends on the lower tail of the recovered costs; check share_below, the share of pseudo-costs below r^*, before interpreting it.

Usage

proc_optimal_ceiling(pv, v0, ...)

Arguments

pv	A proc_values object fitted to a bid matrix.
v0	Buyer's cost if no bid is accepted (outside option).
...	Passed to fpa_revenue_qd.

Value

List: r_star, p_star, cost, binding, share_below, and the curve p, C.

qdfauction documentation built on Nov. 10, 2026, 5:07 p.m.