One unit of object is going to be sold via auction there, Econometrics

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One unit of object is going to be sold via auction there

One unit of object is going to be sold via auction. There are two bidders, A and B. Their willingness to pay are known to be either of 10,20,30,40,50 and bids are also restricted to those values. Suppose A's WTP is 20 and B's is 40. Ties are broken by coin flip and assume they are risk neutral.

Consider the second price auction. Write down the payoff matrix and find dominant strategy equilibrium

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Econometrics: One unit of object is going to be sold via auction there

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Econometrics: One unit of object is going to be sold via auction there

Reference No:- TGS0580261

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Econometrics: One unit of object is going to be sold via auction there

Reference No:- TGS0580261

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