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Bidding to the Top: Position-based Auctions - page 7 / 23

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Top-down Auction Mechanism (GGSP)

Advertiser i  gives bid bi  and position cutoff i

For each position j from 1 … k :

Run a second-price auction among advertisers whose i ¸ j.

Place the winner at position j and remove her from the advertiser pool.

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