Grid computing, emerging as a new paradigm for next-generation computing, enables the sharing, selection, and aggregation of geographically distributed heterogeneous resources for solving large-scale problems in science, engineering, and commerce. The resources in the Grid are heterogeneous and geographically distributed. The paper demonstrates the capability of economicbased systems for wide-a...

In this paper, we study online double auctions, where multiple sellers and multiple buyers arrive and depart dynamically to exchange one commodity. We show that there is no deterministic online double auction that is truthful and competitive for maximising social welfare in an adversarial model. However, given the prior information that sellers are patient and the demand is not more than the su...

We study a phenomenological model for the continuous double auction, whose aggregate order process is equivalent to two independent M/M/1 queues. The continuous double auction defines a continuous-time random walk for trade prices. The conditions for ergodicity of the auction are derived and, as a consequence, three possible regimes in the behavior of prices and logarithmic returns are observed...

D auction prediction markets have proven successful in large-scale applications such as elections and sporting events. Consequently, several large corporations have adopted these markets for smaller-scale internal applications where information may be complex and the number of traders is small. Using laboratory experiments, we test the performance of the double auction in complex environments w...

In this paper we describe an analysis, using evolutionary game theory, of two double auction markets—the clearing house auction and the continuous double auction. We use heuristic-strategy approximation to analyse two broad classes of traders. One heuristic strategy approximates human behavior, and the other is a simple automated strategy, so our analysis permits us to predict the evolution of ...

In a symmetric independent private values setting a sealed-bid double auction dissolves a partnership e¢ciently. This well known result remains valid in a model with interdependent valuations. However, if the interdependent components of valuations are large agents might prefer not to participate in a double auction. Therefore a simple extention of the rules of double-auctions is suggested that...

Truthful bidding is a desirable property for continuous double auctions (CDAs). Many incentive mechanisms have been proposed to elicit truthful bids. However, existing truthful CDA mechanisms often overlook the possibility that sellers may choose not to deliver the auctioned items to buyers as promised. In this situation, buyers may become unwilling to bid their true valuations in the future to...

T paper proposes an agent competition double-auction mechanism to simplify decision making and promote transactions for the customer-to-customer marketplaces. Under the proposed double-auction mechanism, bidding one’s true valuation (private information) is the best strategy for each individual buyer and seller even when shipping costs and sales taxes are different across various possible trans...

We study the problem of mechanism design for a double auction market where multiple buyers and sellers buy and sell a commodity. We design and implement a matching algorithm that maximizes market liquidity, including the number of transactions and buy/sell-volume. We prove that, given the number of matches, the algorithm also maximizes auctioneer’s profit. Based on the CAT Tournament (Trading A...