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EU economies auctioned off 3G spectrum at the same time. The ones with sloppily designed allocation rules raised far less money (controlling for GDP).
by oli5679 10y ago
EU economies auctioned off 3G spectrum at the same time. The ones with sloppily designed allocation rules raised far less money (controlling for GDP).
- taeric 10y agoYeah, that is what the linked paper was about. However, I'm not sure I care too much for the goal of raising more money. In some ways, I would view money raised as heat generated for a mechanism. That is, a necessary by product that is certain to correlate heavily with any outcome, but ultimately waste that should be minimized. The cynic in me sees this as yet another way that economists have found to increase the wealth generation capabilities of valuable things, while at the same time losing sight of the utility that was there.
- oli5679 10y agoSo the money either goes to government or the telcos' employees and shareholders. It's a valid goal for the government to attempt not to undersell the asset, but as you say it's primarily a transfer. If you want an example that changes more than market prices, have a look at Roth's work on matching for hospitals, schools and organs: https://www.google.co.uk/url?sa=t&source=web&rct=j&url=http://www.nobelprize.org/nobel_prizes/economic-sciences/laureates/2012/popular-economicsciences2012.pdf&ved=0ahUKEwiylv-1gMnRAhXmJcAKHa-9DK0QFgg1MAI&usg=AFQjCNHR0sQAdtUdaxy6uJhd0np917-zpA&sig2=Z8UCv7AUPgB26C7tcEFIcA https://www.google.co.uk/url?sa=t&source=web&rct=j&url=http:...