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Sarah went to a store that sells used goods to buy a camera. She was looking at different models ...

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Sarah went to a store that sells used goods to buy a camera. She was looking at different models ...

Sarah went to a store that sells used goods to buy a camera. She was looking at different models when the store manager asked her about the maximum price that she would pay. Because it was impossible to know the quality of the cameras, Sarah lowered her willingness to pay to $200, although she values a used camera of good quality at $300. If the seller values a camera of good quality at $250, what is most likely to happen in this case?

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Microeconomics

Edition: 1^st

Authors: Acemoglu, Laibson, List

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