The study looked at how a special rule called Right of First Refusal (ROFR) affects auctions for government land in Taiwan. They analyzed over 1000 auctions from 2007 to 2010. The researchers found that having ROFR in an auction makes it less likely for the land to be sold. It also makes bidders less interested in participating and bidding aggressively. This leads to lower revenue and profit for the seller. Interestingly, the reserve price set by the seller can counteract some of the negative effects of ROFR. Overall, the study supports the idea that ROFR can have a bad impact on auction outcomes.