In the Market for Used Cars, If Buyers and Sellers

Multiple Choice

In the market for used cars, if buyers and sellers have perfect information about the quality of cars, then

A) all cars will sell for the same price and there is no asymmetric information problem.
B) all cars will sell for the same price and there is an asymmetric information problem.
C) cars sell for their true value and there is no asymmetric information problem.
D) all cars will sell for the same price and there is a moral hazard problem.