# Tag Info

Accepted

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### Why are second price auctions preferred if they don't maximize expected revenue?

I don't think sellers would prefer SPA over FPA. In fact, the SPA is riskier than the FPA, if we look at it from a seller's perspective. The reason is because the distribution of prices in case of the ...
• 515

### What is virtual valuation?

The idea is simple: the seller wants to target that individuals who's ready to pay him the highest amount, thus targets the person with the highest virtual valuation. To target the individual who's ...
• 515