What is the best estimate of the expected revenue from the


A bidder's value for a good may be low ($2), medium ($5), or high ($7). There is an equal number of potential bidders having each value. Suppose two bidders participate in a second-price auction. What is the best estimate of the expected revenue from the auction?

a. $4.11

b. $3.99

c. $3.56

d. $5.00

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Econometrics: What is the best estimate of the expected revenue from the
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