Jump to content

Walrasian auction

From Wikipedia, the free encyclopedia
This is an old revision of this page, as edited by Charles Matthews (talk | contribs) at 22:32, 25 September 2005. The present address (URL) is a permanent link to this revision, which may differ significantly from the current revision.

A Walrasian auction (introduced by Leon Walras) is a type of simultaneous auction where each agent calculates its demand for the good at every possible price and submits this to an auctioneer. The price is then set so that the total demand across all agents equals the total amount of the good. Thus, a Walrasian auction perfectly matches the supply and the demand.