Which One of the Following Is TRUE of a Market

Multiple Choice

Which one of the following is TRUE of a market for used cars?

A) A consumer typically overestimates the probability of getting a lemon (low-quality car) .
B) As buyers become more pessimistic about their chances of buying a high-quality car, the price of used cars (both low-quality and high-quality) decreases.
C) There is a public information problem.
D) The willingness to pay is less than the willingness to accept.