Kirstein, Roland (contributor); … - 2004 - [Elektronische Ressource]
, adverse
selection, lemon problem, regulatory failure, paternalistic regulation
yWe are grateful to Max Albert, George Akerlof … the buyers are unable to observe the true quality of a specific car, an
adverse selection effect may cause the market to … regulation of lemon markets.
2 Adverse Selection
2.1 Setup
This section presents the two versions of the Akerlof model that we …