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Question -
(A) What is the "winner's curse" in an auction? In the context of a simple ascending-price auction, how might bidders adjust their strategies to account for this?
(B) Find and document carefully two real-world situations in which (i) a winner appears to have fallen for the winner's curse; and (ii) bidders seem to have acted cautiously out of a desire to avoid the curse.
Need 850+ words. This essay must be completed in 3 pages or less, in a normal size font. Reference, Harvard style, must be included.
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