Suppose you and one other bidder are competing in a private-value auction. The auction format is sealed bid, rst price. Let '1) and 1) denote your valu- ation and bid, respectively, and let 1'3 and 1; denote the valuation and bid of your opponent. Your payoff is v b if it is the case that b 2 1;. Your payoff is 0 otherwise. Although you do not observe '53, you know that 13 is uniformly distributed over the interval between 0 and 1. That is, v' is the probability that i}