In the market for used cars, half of the cars are of good quality and would sell for $8,000, while half of the cars are of poor quality and would sell for $6,000. If a buyer possessed no information about the quality of the car she was considering, what would she be willing to pay for it?
A) $8,000
B) $7,000
C) $6,000
D) The buyer would choose not to buy because of the lack of information.
Correct Answer:
Verified
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A) an
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A) full
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Q49: In the market for used cars, half
Q50: Designing a contract that aligns the interests
Q51: A used car will sell for the
Q52: A credible promise is:
A) a promise that
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