How do online auction sites like Ebay attempt to overcome the asymmetric information problems associated with goods that the buyer cannot personally inspect before purchase?
A) The online auction firm only allows high-quality merchandise to be sold at their site.
B) The previous performance (reputations) of the buyer and seller are posted for public review.
C) Buyers can take receipt of any goods before they have to pay the seller.
D) all of the above
B
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The above figure shows a nation's production function. Point C is ________ and ________ because ________
A) attainable; efficient; the nation is using resources efficiently B) unattainable; inefficient; the nation is using resources efficiently but they could be more efficient C) unattainable; efficient; the nation would be using resources efficiently if they could attain this level of production D) unattainable; inefficient; the nation is using resources inefficiently E) attainable; inefficient; the nation is using resources inefficiently
The extent of ________ is one key factor in determining the extent of pass-through effects in an economy
A) relative market power B) exchange rate flexibility C) perfect elasticity in currency supply D) currency overhang