Dutch auction

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Dutch auction

An auction in which the asking price is set high and then lowered until someone buys the item. What is this, a Dutch auction? Why is the auctioneer starting out at $1,000 for that piece of junk?
See also: auction, Dutch

Dutch auction

an auction or sale that starts off with a high asking price that is then reduced until a buyer is found. (Viewed by some as insulting to the Dutch.) Dutch auctions are rare—most auctioneers start with a lower price than they hope to obtain. My real estate agent advised me to ask a reasonable price for my house rather than get involved with a Dutch auction.
See also: auction, Dutch
References in periodicals archive ?
A Dutch auction, also known as reverse auction, has a starting price that keeps going lower until there is a bid.
The reverse multi-unit sealed-bid auction outlined by the Treasury is strategically equivalent to a certain falling-price multi-unit auction, which is why the former is usually called a Dutch auction.
Co-owner Len Schrock says the store has been using a Dutch auction method to sell overstocked, discontinued, damaged and closeout merchandise virtually since the business opened in 1930.
Fannie Mae (NYSE: FNM), the largest US home funding company, is planning to sell USD5bn benchmark bills on Wednesday in a Dutch auction, reports Reuters.
Instead of using the traditional best-efforts style IPO, Google used a Dutch Auction to allow small investors to buy in on the IPO.
A Dutch auction is being held for people to clear the decks of tat or treasure and have a laugh while they do it.
The Funded Alternative: Funding for the transaction is generated through the placement of the notes on either a full-term basis or on a short-term basis through a Dutch auction or tender option process.
A Dutch auction is designed to level the playing field by allowing potential investors the chance to help set the price of the IPO through bidding prior to the date of the offering.
Google unveiled plans to float in April and surprised the market by opting to sell its shares via a Dutch auction, which gives individual investors a better chance of acquiring a stake in the company.
Google revealed their plans to float in April and surprised the market by opting to sell their shares in a Dutch auction.
Auctions are usually conducted in a Dutch auction format, whereby the buyer sets the opening price and descending bids are made in rounds.
A Dutch auction is a descending-price auction and bidding starts at a high price.
In a Dutch Auction each holiday lot starts at the maximum price and at regular intervals the price drops until it reaches the reserve price.
THE Chief Constable of North Wales, Richard Brunstrom, has been accused of entering into a Dutch auction by calling on the public to pay an extra 15p a week per household.
So he turned to a little-used financial technique called a Dutch auction.