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Imperfect Information on the Part of Buyers and Sellers

Question 1

Multiple Choice

Imperfect information on the part of buyers and sellers:


A) remains a barrier to achieving efficiency, in many industries
B) will not stop the economy from achieving efficiency, assuming the other conditions for efficiency hold
C) cannot persist in a market economy
D) is no longer a problem due to the effective enforcement of advertising standards

Correct Answer:

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