Ebay has the most popular web site for Internet auctions, auctioning everything from Pez candy holders to fine artwork. Ebay's auction system can be characterized as an English system with a seller reservation price, and a time limit - but it may be more than that.

Consider a piece of artwork. At the time he or she posts an image of the artwork on the Ebay site, the seller can set both a reservation price and the opening and closing times for the auction. Ebay members may then bid on the artwork in a manner similar to an English auction. That is posted bids are observable to all.

Question:

What often happens in Internet auctions of this type is that there is a flurry of bids in the final stages of the game (i.e., as closing time approaches). The Ebay system, and the Internet in general, is not fast enough to post all these bids. Thus, with about 45 sec left, incoming bids are no longer posted.

Explain what type of auction this "window of no information" simulates, and explain why this may also work to yield high bids for the sellers. What attribute of the artwork are you assuming the product has in this case?