That's a lot of dollar bills
December 3, 2001
By Rob Neyer
You know about "the Winner's Curse"? It's a simple way of saying that when you "win" an auction, you've actually lost. In most cases, the rational value of a commodity is best approximated by the average value that consumers assign it.
It's fashionable to say that a baseball player is, by definition, "worth" whatever he's paid. But that's only because baseball players are an uncommon commodity. Is a can of beans "worth" the highest price that someone will pay? ...