Answer the following statements true (T) or false (F)
1) In a Dutch auction, participants only observe a single bid.
2) A participant's optimal bidding strategy is dependent on how the product is valued.
3) In a correlated-value auction, the unknown, true value of the auction item is the same for all bidders.
4) If, in an auction with independent private values, a manager values an item at a price that is lower than the item's expected profit, the manager is risk neutral.
5) If an item being auctioned has independent private values, the expected revenue is the same for all auction types.
1) TRUE
2) TRUE
3) FALSE
4) FALSE
5) TRUE
You might also like to view...
What is a patent race?
What will be an ideal response?
If interest rates rise, then velocity should ____ in the Keynesian model and _____ in the Monetarist model
a. rise; fall. b. stay the same, stay the same. c. rise, stay the same. d. fall; rise. e. none of the above
The price elasticity of demand
a. is of no use to producers b. tells producers what will happen to total profit if they change product price c. tells producers what will happen to quantity supplied if they change product price d. tells producers what will happen to total revenue if they change product price e. tells producers what will happen to price in the following time period
Exhibit 2-15 Production possibilities curve
In Exhibit 2-15, the economy will experience the most future economic growth if it chooses what point now?
A. J. B. K. C. M. D. N.