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Tres Amigos At an oral auction for used car, half of all bidders have a value of $1,500 and half have a value of $1,900.

Tres Amigos At an oral auction for used car, half of all bidders have a value of $1,500 and half have a value of $1,900.

What is the expected winning bid if there are THREE bidders and no reservation price?

Is there a reservation price that would increase the expected revenue to the auctioneer?

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