12 Questions
In the US, the breakthrough success in auctions was the 1994 eBay spectrum auction designed by Milgrom & Wilson.
False
Cavinnash recently sold a Klagenfurt outdoor pool.
False
Playing with bidding formats on eBay and Cavinnash platforms can help understand why second-price auctions are important.
True
The text suggests that auctions are not important in today's economy.
False
Marcus Licinius Crassus founded the first known fire brigade in Athens.
False
Crassus' fire brigade would extinguish the flames of a house only if the owner agreed to a selling price negotiated by Crassus.
True
According to rumors, houses that Crassus was interested in caught fire relatively seldom.
False
Auctions always consist of an allocation rule and a profit-sharing rule.
False
In auction theory, the expected second-highest bid is denoted by beta(v̄) = 50.
False
The revenue generated from the Second Price Auction (SPA) and First Price Auction (FPA) will always be different.
True
Auctions are commonly used because they allow the seller to negotiate bilaterally with the bidders.
False
One of the reasons auctions are preferred in public procurement is to ensure speedy settlement compared to negotiations with multiple participants.
True
Explore the basics of auction theory by studying Pindyck & Rubinfeld, Gibbons Primer to Game Theory, and Krishna Auction Theory. Learn about auctions and their importance through Muñoz-Garcìa's introduction for undergraduate students.
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