Information Gaps (L19) Flashcards
1
Q
Perfect information
A
When a buyer/ seller has complete understanding of the quality & nature of a good/service
2
Q
Symmetric information
A
When buyer and seller have equal amounts of information about a good/service
3
Q
Imperfect information
A
When buyer/seller lacks a complete understanding of the quality and nature of a good/service
4
Q
Asymmetric information
A
When buyer/seller has more information about a good/service than the other party
5
Q
Information gap
A
When buyer/seller doesn’t have access to the information needed to make a fully informed decision
