Principles of Microeconomics / Unit 15 MIC 1401 short lesson, about 20 seconds
Imperfect and Asymmetric Information
Captions available
The idea
Imperfect information: a party is unsure what is traded. Asymmetric: one side knows more. Either can block trades that benefit both; a buyer who cannot tell a sound car from a lemon will not pay for one.
In practice
The seller knows the car's history; the buyer sees the paint.
Where people slip
The witness has no chapter on this; these entries rest on the anchor.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
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