Thursday, December 11, 2008

Market for Senate seats

Auction theorist, designer, and entrepreneur Peter Cramton sends me the following email about the recent arrest of the Governor of Illinois on charges of seeking to sell the Senate seat vacated by the President-elect. Under the subject line "auctions vs. matching" he writes:

"Al,
As you know, I am a big fan of auctions, but below would appear to be an example of where using an auction (price-based matching) causes some discomfort among market participants and matching without prices may be preferred. :)
Peter"

He attaches this BBC story, asking When will the Illinois prison authorities finally grasp the nettle and open a governors' wing in Chicago's premier jail?

1 comment:

Sam said...

I only have one question. Do they take Discover?