Great confusion results. When multiple units are auctioned, normally more takers press the button as price declines. In other words, the first winner takes his prize and pays his price and later winners pay less. When the goods are exhausted, the bidding is over. Dutch auctions have been used to finance credit in Rumania and for foreign exchange in Bolivia, Jamaica, Zambia and have also been used to sell fish in England and in Israel.
Dutch auctions are common in less obvious forms.
Filene's, a large store in Boston, keeps in its basement a variety of marked-down goods, each with a price and date attached. The price paid at the register is the price on the tag minus a discount that depends upon how long ago the item was tagged. As time passes and the item remains unsold, the discount rises from 10 to as high as 70 percent. It is believed that the English system may be inferior to Dutch in one area. The winner may end up paying well under his valuation and thus the seller does not receive the maximum price.