Recall the Application about the free-agent market for professional baseball pitchers to answer the following question(s).
-Recall the Application. The market for baseball players suffers from adverse selection because ________ the used car market, buyers (potential new teams) ________ goods (pitchers) that are lemons (low quality).
A) unlike; have difficulty identifying
B) like; have difficulty identifying
C) unlike; can more easily identify
D) like; can more easily identify

Question

Quizplus · Accepted Answer

The market for baseball players, similar to the used car market, suffers from adverse selection because potential new teams (buyers) have difficulty identifying which players (goods) are of low quality (lemons), just as buyers in the used car market struggle to identify the quality of cars.

Recall the Application About the Free-Agent Market for Professional Baseball