Just had a flash I wanted to share: scenario: 10 snipers, all biding on same item, each using outrageous bid amount technique to be high bidder
Action! (last seconds of auction): mini bidding war as proxies struggle to determine high bidder
closing scene (winning sniper's bid site) "I won!!! $501.03??!!!! OMG! the thing is only worth $25! OOOOOOOOOOOOOO! closing scene (seller's site): rubbing hands together briskly, "HEHEHE!"
This seems to feed the myth that snipers bid outrageously high amounts--more than they expect to pay. I find that snipers are very clear on obtaining the item at a price they are willing to pay, and I think few bid otherwise.