Question: . Consider a second price sealed bid auction for single good. There are two bidders, A and B , with types greater than or equal

. Consider a second price sealed bid auction for single good. There are two bidders, A and B, with types greater than or equal to 0. Bidder A observes her privately known type vA and bidder B observes her privately known type vB. The bidders simultaneously and independently submit sealed bids. The bidder submitting the higher bid wins the good and pays the losing bid. The bidder submitting the lower bid receives 0.2a. Find the symmetric (Bayesian) Nash equilibrium in this game.

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