The "winner's curse" refers to the fact that in a sealed-bid auction with private values, the winning bidder often pays more than he would have to in order to win the object auctioned.

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The "winner's curse" refers to the phenomenon where the winning bidder in an auction ends up overpaying due to the tendency to estimate the value of an item more highly than its actual worth, especially in common value auctions where the item's value is the same for everyone but not known in advance.

The "Winner's Curse" Refers to the Fact That in a Sealed-Bid