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Equilibrium solutions of an auction game related to the model of privatization of indivisible boons under conditions of corruption. (English. Russian original) Zbl 0971.91021
Dokl. Math. 59, No. 1, 154-156 (1999); translation from Dokl. Akad. Nauk, Ross. Akad. Nauk 364, No. 2, 178-180 (1999).
The authors consider a model of privatization of objects of state property by an auction, which is conducted by corrupt officials. The model and strategies are defined in the form of a game between a finite number of participants-buyers and a one bureaucrat-seller. A solution of the game is defined as an equilibrium which balance: (A) the interests of different participants in their competition for objects, and (B) the interests of the participants and the bureaucrat. Assuming a number of assumptions the authors proved that an equilibrium exists, and it is unique under additional assumptions.
Reviewer’s remark: It seems that by the authors V-th assumption a participant with lower resources has an advantage over the other participants with higher resources.

MSC:
91B26 Auctions, bargaining, bidding and selling, and other market models
91A40 Other game-theoretic models
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