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This article is from the eBay FAQ, by William B. Shaw toppsoft@yahoo.com with numerous contributions by others.

4.1.1 How much should I bid? (eBay)

Bid the maximum amount you are willing to pay for an item less the expected
cost to ship. If you lose the auction, you'll have the comfort of know you
weren't willing to pay more for it. What? you would have paid that extra $1?
That means you really didn't bid your max.

 

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