Internet Auctions as a Mechanism of Resources Allocation in the Global Scale

The paper describes the Internet auctions as one of the most popular types of electronic commerce. The author presents the characteristic - positive and negative - aspects of virtual auctions taking place in the Internet Cyberspace. A special attention is given to the economic consequences of Internet auctions' development. The problem of allocation mechanism over the countries' borders is also taken up in the paper. The author distinguishes and discusses three kinds of flows in the global economy: commodity flows, capital flows and information flows. The paper indicates the important role of Internet auctions in the creation of one common market and their contribution to the development of globalization process