Sealed bid auctions attract more bidders, boost revenue in timber auctions.
The article compares sealed bid and open auctions using data from U.S. Forest Service timber auctions. Sealed bid auctions attract more small bidders, shift allocation towards them, and can generate higher revenue. A private value auction model explains these effects, with parameters estimating the model's quantitative effects. The model also assesses bidder competitiveness, crucial for auction design.