In the 1980s,it Became Increasingly Common for Consumers to Sign

question 16

Multiple Choice

In the 1980s,it became increasingly common for consumers to sign two-year leases rather than buying the cars outright.As these leases expired,the supply of used cars expanded considerably.How would the addition of this large volume of off-lease cars influence the possibility of a lemons problem on the used-car market?

• A)The lemons problem would be alleviated because off-lease cars tend to be put up for sale automatically,rather than being offered only when the seller obtains private information about the car's poor quality.
• B)The lemons problem would be worsened because used-car prices would fall in response to the glut of off-lease cars.
• C)The lemons problem would be worsened because,with more used cars,searching for the appropriate car would become much more difficult for buyers.
• D)Very little;the existence of off-lease cars has little to do with the lemons problem.

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Definitions:

Selling Skills

Competencies related to effectively persuading customers to purchase a product or service, including communication, negotiation, and empathy.

Negotiation Skills

The abilities that allow individuals to reach agreements or compromises by discussion, aiming for mutually beneficial outcomes.

Sales Presentation

A sales presentation is a structured pitch where a product or service is explained and promoted to potential customers, aiming to secure a sale or agreement.

Office Networking Systems

Refers to the digital and technological infrastructure that supports communication and resource sharing within an office or organization.