I found a Peter Stone paper that address part of my idea on adaptive auctions and mechanism design. However, they only took it part of the way. They only looked at adapting the parameters of single type of auction. Rather my idea was that not only would that happen but also the type of auction would change as well to adapt to the bidders. The nice thing is that they have discussed the application areas.
So, my original ideas are basically what would happen if we combined the two following papers.
http://www.cs.utexas.edu/~pstone/Papers/bib2html-links/INFORMS10-pardoe.pdf
http://edoc.sub.uni-hamburg.de/hsu/volltexte/2014/3041/pdf/2014_02_Lang.pdf
I would want to apply it to not only auctions but also negotiation as well.