General equilibrium strategies may be relatively diﬀicult to determine. While multiplicative strategies may be much simpler to calculate, they are not in general in equilibrium. An example shows that such strategies may indeed be quite far from equilibrium. However, if the example is iterated using Bayesian decision analysis, the strategies quickly converge to being very nearly in equilibrium.
Engelbrecht-Wiggans, Richard, "Multiplicative Bidding and Convergence to Equilibrium" (1978). Cowles Foundation Discussion Papers. 734.