| ▲ | cbmuser 4 hours ago | |
There is no way of changing this. It’s how commodity markets work. | ||
| ▲ | otherme123 3 hours ago | parent | next [-] | |
There are alternatives, like "pay as bid", which heavily incentives the best price guesser instead of the cheapest producers. And is a system more fragile against collusions in concentrated markets (i.e. a handful of big producers that agree on high bids). | ||
| ▲ | blibble 3 hours ago | parent | prev [-] | |
of course there is this is not the global oil market the UK electricity market is a government creation, highly regulated, and only accessible to limited participants 30 minutely, day ahead, pay-by-clear auction markets are not a property of the universe | ||