For which of the following commodities will the benefit from search be the highest?
A)Washing machines
B)Real estate
C)Apparels
D)Books

Question

Quizplus · Accepted Answer

The benefit from search is highest for commodities with a high value, infrequent purchases, and high heterogeneity among products. Real estate is a high-value commodity, and purchasing a property is a relatively infrequent occurrence for most people. Additionally, the heterogeneity among properties can be significant, making it challenging to find the perfect property quickly. Hence, real estate is the best choice in this case.

For Which of the Following Commodities Will the Benefit from Search