A buyer wishes to purchase a good from a seller who chooses a sequence of prices over time. In each period, the buyer can also exercise an outside option such as moving onto another seller. We show there is a unique equilibrium in which the seller charges a constant price in every period equal to the monopoly price against their residual demand. This result contravenes the Coase conjecture.

— This research proposes a novel auction mechanism for transactive energy exchange between buyers and sellers, modeled as agents in a microgrid. The mechanism is implemented by a separate microgrid controller (MC) agent, and requires big data flow with the other agents through an iterative bidding process. Although private user information remains hidden to the MC, a theoretical analysis shows ...

We study a model in which the seller of an indivisible object faces two potential buyers and makes an offer to either of them in each period. We find that the seller’s ability to extract surplus from them depends crucially on the value of the cost of switching from one buyer to the next. If the seller is pessimistic about the buyers’ valuations and there is a switching cost, however small, then...

We examine the buyer-seller problem under different levels of commitment. The seller is informed of the quality of the good, which affects both his cost and the buyer’s valuation, but the buyer is not. We characterize the allocations that can be achieved through mechanisms in which, unlike with full commitment, the buyer has the option to “walk away” after observing a given offer. We further ch...

Inspired by real-time ad exchanges for online display advertising, we consider the problem of inferring a buyer’s value distribution for a good when the buyer is repeatedly interacting with a seller through a posted-price mechanism. We model the buyer as a strategic agent, whose goal is to maximize her long-term surplus, and we are interested in mechanisms that maximize the seller’s long-term r...

Intellectual Property (IP) core used in computing system-on-chip provides a unique blend of yielding enhanced design productivity with reduced design cycle time. However, leveraging benefits of IP core require protection against threats from both seller’s and buyer’s perspective. This paper proposes a novel symmetrical IP core protectionmethodology that embeds a buyer fingerprint and seller wat...

Economists have long recognized the importance of trust in trade and economic development, but few empirical studies address how trust is maintained and enhanced. We set up a rational expectation model that allows the marketplace to boost trust via buyer insurance or seller penalty. The model shows that buyer insurance will reduce seller trustworthiness in equilibrium because insurance increase...

We study valuing the data of a owner/seller for seeker/buyer. Data valuation is often carried out specific task assuming particular utility metric, such as test accuracy on validation set, that may not exist in practice. In this work, we focus task-agnostic without any requirements. The buyer has access to limited amount (which could be publicly available) and seeks more samples from seller. fo...

Transaction costs analysis is concerned with ways of aligning appropriate governance modes with the attributes of economic transactions. Nowadays transaction costs are universally accepted, despite the difficulty in measuring and quantifying them. Starting from the customary definition of transaction costs, this paper proposes a model for the buyer/seller relationship, focusing on the uncertain...