Revolutionizing Spectrum Auctions: New Approach Promotes Fairness and Efficiency
Spectrum auctions are used by governments to assign and price licenses for wireless communications. The standard approach is the simultaneous ascending auction, but a new method called the combinatorial clock auction has been developed to improve upon it. This new auction allows bidders to bid on packages of lots, promotes truthful bidding, and reduces gaming behavior. Early tests show that the combinatorial clock auction is more efficient and effective than the traditional simultaneous ascending auction.