... self-delusion, Steve? If the potential bidder knows the item is worth $20 and he's willing to pay $20 for it, the "expectation" that he can buy it for less (particularly as little as $1) is an example of the "free lunch" syndrome.

And even if that is a legitimate "expectation", the question remains: Is a bidder's "expectation" an interest that an auction venue should protect?

Some venues obviously think so (e.g., eBay) and with good economic reason. On the other hand, I don't think there's anything inherently "good" or "evil" about the use of shill bidding. It's just a technique for facilitating the "negotiation" of a sale price for a particular item. See my post to Larry Hollibaugh describing my "first epiphany" of the day for further comments along this line.

BTW, I look for my "free lunch" on eBay all the time -- and occasionally, I even find it. So, no one should take my comments as being critical of a rule which prohibits shill bidding. ----- jim o\-S