
Why you would pay more than a dollar for a dollar?
Imagine the following scenario:
You’re at a lecture and the teacher holds up a dollar, telling everyone they can bid on it and the highest bid gets it. Hey, who wouldn’t take the opportunity to buy money for less money. So far so good. There is one more rule however. Everyone can bid but the runner up (the second highest bidder) must pay up and will get no dollar.





Voting is perceived as free and rational. Citizens make whatever choices they wish, shielded from external influences by the privacy of the voting booth.
In a recent