Which of the following is NOT an example of a solution to an adverse selection problem that is caused by the seller's having private information?
A)The government bans the sale of air conditioners with energy efficiency below a certain standard.
B)A buyer's organization makes a verified list of product characteristics demanded by buyers.
C)An independent organization verifies organic production and publishes a list of certified organic farmers.
D)A producer of a weight loss supplement offers a money-back guarantee that its product works.

Question

Quizplus · Accepted Answer

The Answer of Which of the following is NOT an example of a solution to an adverse selection problem that is caused by the seller's having private information?
A)The government bans the sale of air conditioners with energy efficiency below a certain standard.
B)A buyer's organization makes a verified list of product characteristics demanded by buyers.
C)An independent organization verifies organic production and publishes a list of certified organic farmers.
D)A producer of a weight loss supplement offers a money-back guarantee that its product works.

Which of the Following Is NOT an Example of a Solution