What is the dominant strategy for a bidder in an English auction?
What will be an ideal response?
Since the bidder pays his bid if he wins, each bidder will continue to raise the bid by the minimum amount allowed until the bidding reaches the value that he places on the item that is being auctioned. This means that, in an English auction, it is a dominant strategy to bid until the price is above the bidder's value for the item.
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During 1990–2003, as a percentage of total resource flows to developing countries, the share of official flows has
(a) remained relatively constant. (b) increased by a relatively small percentage. (c) increased by a relatively large percentage. (d) decreased by a relatively small percentage. (e) decreased by a relatively large percentage.
Use the above table. Assuming constant opportunity costs, the opportunity cost of producing a gallon of wine in France is
A) 0.33 pound of beef. B) 0.5 pound of beef. C) 2 pounds of beef. D) 3 pounds of beef.