Answers to Text Questions and Problems Chapter 11
d. there is a downward spiral in the average quality of used cars. e. all of the above. 8. Suppose that 15% of all new cars are lemons, that good used cars are worth $15,000, and that lemons are worth $5000. In the long run, what will be the price of a used car? a. $15,000 b. $13,500 c. $6500 d. $5000 e. $0 9. ................
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