One result of adverse selection in the used car market is that few plums (high-quality) are sold.

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Adverse selection means that buyers are more likely to end up with low-quality cars at a high price because sellers with high-quality cars are less likely to offer their cars in the market due to fear of being unfairly compensated for their product. This results in few high-quality cars being sold, which are known as "plums".

One Result of Adverse Selection in the Used Car Market