Rs 20 auction

Rs 20 goes to the highest bidder Bidding starts at Re 1 Bids can only be increased by Re 1 The 2nd highest bidder also must pay, but

gets nothing in return No groups

1

© Shri Ram Murti Smarak International Business School, Lucknow www.ibs.srms.ac.in

Rs 20 auction -- learnings

Greed – the seed for irrational decisions Recovery of past investment Returns >= Investment

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© Shri Ram Murti Smarak International Business School, Lucknow www.ibs.srms.ac.in