Yue Yuan
Institution
University College London
PhD Year
2021
y.yuan1@outlook.com
FTG Membership
Member
Website
https://www.yue-yuan.com/
Featured Work
Nov 22, 2022
Security Design under Common-Value Competition
This paper studies security design by bidders with dispersed information about a common-value investment opportunity. Among a broad set of securities, bidders offer debt financing—the flattest securities. A first reason is that debt mitigates bidders' exposure to the winner's curse. Second, regardless of the entrepreneur's initial information set, the entrepreneur gains an informational advantage by inferring from the bids, and is more likely to select...
