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Andrea Tulli

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Case report Open access Sep 2026

The Costs and Benefits of Mediocrity: Endogenous Auction Design in Procurement

We study bidding in a broad class of price-based procurement mechanisms in which the lowest bid does not always win. These mechanisms are used when cost overruns and non-compliance affect contract execution. We first characterize equilibrium bidding behavior in a general setting with endogenous winning probabilities. W...

Frank Stähler, Andrea Tulli · 0 citations

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