What is a reverse auction?

October 1, 2008 8:41am

Brandon Fuller explains at Slate’s new spin-off, The Big Money.

The best in-depth survey of auction theory is Paul Klemperer’s, here [pdf, technical].

The outstanding question here is, if the Treasury uses reverse auctions to buy up bank assets, how to adjust for the fact that not all bank assets are the same. No doubt a mere technicality…