In the Used Car Market with Warranties,the Equilibrium Is a ________

Multiple Choice

In the used car market with warranties,the equilibrium is a ________ and the lemons problem is ________.

A) pooling equilibrium; solved
B) pooling equilibrium; unresolved
C) separating equilibrium; unresolved
D) separating equilibrium; solved
E) pooling equilibrium; possibly solved and possibly unresolved, depending on whether good used cars sell for a higher price than do lemons