-Suppose That Everyone Is Risk Neutral and Buyers Cannot Identify

question 41

Multiple Choice

-Suppose that everyone is risk neutral and buyers cannot identify the lemons.The expected value of a used car is $8,000.No good cars will be sold in this market

• A) unless the sellers of good cars place a value greater than $8,000 on their cars.
• B) unless the sellers of lemons place a value greater than $8,000 on their cars.
• C) unless sellers engage in cheap talk.
• D) unless the sellers of good cars place a value lesser or equal to $8,000 on their cars.

Differentiate between passionate and companionate love in relationships.

Comprehend various routes of persuasion and their applications.

Identify methods through which attitudes are developed and changed.

Recognize factors that facilitate the development of friendships and relationships.