Toyotas are known for their quality and durability.As a result,compared with other used-car markets,adverse selection in the used-Toyota market is:
A)equally likely.
B)relatively unlikely.
C)more likely.
D)not expected.

Question

Quizplus · Accepted Answer

Toyotas are known for their quality and durability, which implies that they are less likely to break down or have significant issues compared to other used cars. As a result, there is less adverse selection in the used-Toyota market, making it relatively unlikely.

Toyotas Are Known for Their Quality and Durability