Rhonda Would Like to Sell Her Existing Digital Camera to Upgrade

Multiple Choice

Rhonda would like to sell her existing digital camera to upgrade to a more sophisticated one by advertising on the bulletin board in the student center.She decides against it because the used digital cameras listed on the board are underpriced.This describes the problem of:

A) adverse selection.
B) moral hazard.
C) positive correlation.
D) risk aversion.