What is the primary difference between a live auction and an online auction?

The primary distinction between a live auction and an online auction is that a live auction takes place in person, facilitating direct interaction among bidders and the auctioneer. This format allows bidders to observe items firsthand, engage with one another, and experience the immediate excitement that often accompanies live events. In contrast, an online auction is conducted via the internet, allowing participants to bid from various locations without needing to gather in a physical location.

While the other options touch on aspects of auction formats, they do not capture the core difference as effectively. For example, the idea that live auctions have no time limit and online auctions do last for a predetermined period is not universally true. Many live auctions set a specific timeframe for bidding as well. Similarly, the immediate bidding characteristic of live auctions doesn't imply that online auctions are void of timely responses, as many platforms allow for quick bidding. Lastly, while some live auctions may feature items sold without reserve, this is not a defining characteristic of all live auctions, nor is it applicable to all online auctions, where reserve prices can indeed be a common practice. Therefore, the clear and foundational difference is that live auctions gather participants physically in one location while online auctions take place in a digital environment.