When bidders values of an item in an auction are correlated, buyers of an item will _______ their bids and sellers will _______their bids to avoid the winner's curse.

Name: When bidders values of an item in an auction are correlated, buyers of an item will _______ their bids and sellers will _______their bids to avoid the winner's curse.
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Question

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Buyers will lower their bids to avoid overpaying due to the winner's curse, while sellers will raise their bids to ensure they receive a fair price.

When Bidders Values of an Item in an Auction Are