Adverse Selection example, Can someone please help me in finding out the accurate answer

Adverse Selection example

Can someone please help me in finding out the accurate answer from the following question. The car dealer never proposed to honor a guarantee on a utilized car, providing an illustration of: (1) Moral hazard. (2) Economic dishonesty. (3) Price discrimination. (4) Market power. (5) Adverse selection.

View Complete Question

Related Questions in Microeconomics

Q : Define poverty line by the income

Explaining the poverty line by the income needed to maintain a specified standard of living is: (w) a positive poverty standard. (x) a relative poverty standard. (y) a normative poverty standard. (z) an absolute poverty standard.

Q : Positively sloped supply curve of a

Can someone please help me in finding out the accurate answer from the following question. According to most conventional theories of labor market: (1) The supply curve of labor is positively sloped as higher salaries attract the extra workers to the labor market. (2)

Q : Total variable costs in monopolistic

When this firm produces 5,000 units of output monthly in this demonstrated figure, in that case its total variable costs equal as: (w) $75,000 per month. (x) $15,000 per month. (y) $18,000 per month. (z) $3,000 per month.

Q : Aggregate demand curve Choose the right

Choose the right answer from following. The aggregate demand curve is: A) vertical if full employment exists. B) horizontal when there is considerable unemployment in the economy. C) downsloping because of the interest-rate, real-balances, and foreign purchases effect

Q : Elasticity Which of the statements

Which of the statements regarding elasticity is correct? A) Supply is more elastic in the short run than in the long run. B) Demand is more elastic in the short run than in the long run. C) Demand is more elastic when a large number of substitute goods are avail

Q : Maximize profit by marginal revenue and

Prohibition Corporation’s very famous St. Valentine’s Day software is going within version 6. The very first point Prohibition requires to classify in its quest to maximize profit is the: (1) point e. (2) point f. (3) point g. (4) point h.

Q : Occurrence of socially optimal

The socially optimal production of penicillin arises while quantity: (a) Q1 is produced and sold at price P1. (b) Q1 is produced and sold at price P3. (c) Q2 is produced and sold at price P2<

Q : Problem on Minimum Wage Sec. A :The

Sec. A:The Bureau of Labor Statistics of a small state has asked you to analyze a minimum wage policy to support unskilled workers in the State’s local economy, which is still suffering from the effects of the recession. Based on

Q : Labor Unions and Union membership I

I have a problem in economics on Labor Unions-Union membership. Please help me in the following question. The union membership is most widespread among: (1) White collar workers. (2) Managers and Supervisors. (3) Blue collar workers. (4) Young, upward

Q : Price elasticity of demand DVDs of games

Moving from point c to point d beside demand curve D, the price elasticity of demand DVDs of video games equals: (1) 0.8. (2) one. (3) 1.10. (4) 1.25. (5) 2.50

Discover Q & A

Leading Solution Library

Avail More Than 1421509 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads

No hassle, Instant Access

Start Discovering

18,76,764

1953730
Asked

3,689

Active Tutors

1421509

Questions
Answered

Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!

Submit Assignment