It would only be fair if we assumed all people had an exact equal amount of resources and therefore if person A outbids person B, it's because it means more to

It would only be fair if we assumed all people had an exact equal amount of resources and therefore if person A outbids person B, it's because it means more to person A than person B, rather than say person A having 100x the resources of person B. We also don't force auction land off every year, because the costs (both financial and social) of that churn and insecurity are way worse than the gains from the resources being allocated for maximum economic value.