In a Market with Asymmetric Information,hidden Actions Exist If ________

Multiple Choice

In a market with asymmetric information,hidden actions exist if ________.

A) the buyer or the seller takes actions that are relevant for, but not observed by, the other party
B) the production or consumption of a good gives rise to positive externalities
C) the production or consumption of a good gives rise to negative externalities
D) the value of a good to a seller is greater than its value to a buyer