Part of the reason why barely used cars sell for much less than new cars is that

A. buyers and sellers have symmetric information about cars and both have less information about used cars than about new cars.
B. buyers and sellers have symmetric information about cars and both have more information about used cars than about new cars.
C. buyers have more information about used cars than sellers do.
D. sellers have more information about used cars than buyers do.


Answer: D

Economics

You might also like to view...

What are the main influences on the quantity of real money that people and businesses plan to hold?

What will be an ideal response?

Economics

Assume there are nine voters in a certain small town and let x = the preferred number of dollars spent per person per month on garbage collection. For Voters 1, 2 3, and 4, x = $10; for Voter 5, x = $15; for Voter , x = $18; and for Voters 6, 7, 8 and 9, x = $20 . The median voter is

a. Voter 3. b. Voter 4. c. Voter 5. d. Voter 6.

Economics

Which of the following government policies is not likely to reduce unemployment?

a) increasing payroll taxes b) making loans to the unemployed who wish to start businesses of their own c) providing retraining subsidies d) offering relocation assistance to the unemployed who find work out of town e) providing publicly funded job placement agencies

Economics

The public debt can be thought of as

A. the total amount in taxes consumers pay to the government. B. the total amount consumers owe on their credit cards. C. the total amount the government spends for goods and services. D. accumulated budget deficits and surpluses.

Economics