Auctions are used in place of markets when the items traded are unique (e.g. ,a Ming vase or a right to drill for oil).Which of the following examples are typically sold using Vickrey auction methods?
A)For-sale-by-owner houses
B)Household furnishings
C)Items sold in Filene's Basement,with the price discounted after a certain date
D)Vintage postage stamps

Question

Quizplus · Accepted Answer

Vintage postage stamps are a unique item that are typically auctioned using Vickrey auction methods. In a Vickrey auction, the highest bidder wins the item, but they pay the second-highest bid price, which incentivizes bidders to bid their true value for the item.

Auctions Are Used in Place of Markets When the Items