What is each buyers probability of winning the object

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Reference no: EM131332937

Suppose that there are n buyers whose private values are independent and uniformly distributed over [0, 1]. Answer the following questions:

(a) What is the individually rational, incentive-compatible direct selling mechanism that maximizes the seller's expected revenue?

(b) In this mechanism, what is each buyer's probability of winning the object, assuming that each buyer reports his true private value?

Reference no: EM131332937

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