Question: We consider a keyword auction for search engines for two links. The first link has a click frequency of 200/week and the second link has

We consider a keyword auction for search engines for two links. The first link has a click frequency of 200/week and the second link has a click frequency of 100/week. Three bidders compete for that keyword. Bidder A values the pay-per-click at 8, bidder Bs valuation is 5 and bidder Cs valuation is 10. The auction format is GSP and we assume bidders bid their valuations. Calculate the outcome.

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