Yes, I am aware of the dominant strategies in auctions of this type. That said, eBay auctions suffer some of the same problems of first price sealed bid auctions, in that they encourage bidders to bid above their true value (good for eBay and the sellers, bad for the buyers). Vickrey auctions would work a damned sight better, but I can't see most users being happy with them.
I bid what I was willing to pay, being USD50 in this case. I put this in at the end of the auction because rebidding is common (bidders initially bid less that their true value, then rebid with raised values as their bids are exceeded).
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zvi and
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Date: 2008-10-20 09:24 am (UTC)I bid what I was willing to pay, being USD50 in this case. I put this in at the end of the auction because rebidding is common (bidders initially bid less that their true value, then rebid with raised values as their bids are exceeded).