A Hollywood celebrity is auctioning off her Bel Air mansion in a second-price sealed bid auction. There are 5 mega-fans taking part in the auction. They each have a private value listed below. #1 = 5 million, #2 = 10 million, #3 = 4 million, #4 = 8 million, #5 = 9 million. All bidders, except Bidder #5, have taken Business Microeconomics and understand auction theory. As such, these bidders will submit bids using their optimal strategies, while Bidder #5 submits a bid of 11 million. Which bidder will win the auction and what will be the amount paid?
