Quote:
Originally Posted by Peter_Spaeth
When the house wins an auction, and of course doesn't pay a premium, how is the price reported to the community?
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From an economic perspective, inasmuch as by winning the item the AH has forgone the right to collect the BP from the underbidder, I would characterize that forgone revenue as an opportunity cost "paid" by the AH to win the item, and add it to the hammer price when reporting the realized price.
Whether in fact AHs do this I don't know, but IMO if they did they would not be mispresenting the realized price.