All of the following are true regarding a sealed-bid second-price auction except which one?
A) Participants submit sealed bids.
B) The participant with the highest bid wins.
C) The winner of the auction pays what the second-highest participant bid.
D) This kind of auction is common.
D) This kind of auction is common.
You might also like to view...
Which of the following would most likely be defined as a final good?
A) a computer tablet B) wheat C) iron ore D) lumber
Refer to the graph shown. Initially, the market is in equilibrium with price equal to $12 and quantity equal to 140. As a result of a per-unit tax imposed by the government, the supply curve shifts from S0 to S1. The effect of the tax is to:
A. reduce consumer surplus by $240. B. give government tax revenues of $100. C. reduce consumer surplus by $200. D. give government tax revenues of $280.
Which of the following is true of price changes in currencies under the fixed-rate system?
a. Frequent occurrence b. Low magnitude c. Infrequent, but high magnitude d. Frequent, but low magnitude
A baker of bread has a long-term fixed-price contract to supply bread. Which of the following would NOT reduce her risk?
A. Hedging this risk in the wheat futures market B. Finding a wheat farmer who will take the short position in a wheat futures contract C. Taking the long position in wheat futures contract D. Finding a wheat farmer who will take the long position in a wheat futures contract