Certifying a used car through a brand dealership:
A)corrects an inefficiency in the market.
B)allows more transactions to take place that are valuable to buyers and sellers.
C)credibly signals which cars are not lemons.
D)All of these statements are true.

Question

Quizplus · Accepted Answer

Certifying a used car through a brand dealership corrects an inefficiency in the market by providing credible signals which cars are not lemons. This allows more transactions to take place that are valuable to buyers and sellers. Therefore, all the statements are true.

Certifying a Used Car Through a Brand Dealership