Efficient Auctions Possible Even with Interdependent Valuations
The study shows that a common mechanism used in economics may not work well for problems where people's values are connected. By making small changes to this mechanism, it can be made to work better in these situations. When people have limited information, they are more likely to tell the truth about their values. In the end, when this mechanism is used multiple times, the total payments made by everyone can be calculated.