Kirstein, Roland; Schäfer, Hans-Bernd - Forschungsstelle zur ökonomischen Analyse des Rechts, … - 2006
The paper examines the impact of the mandatory warranty intrudced by the EU (1999) both from a theoretical and an … empirical perspective. In lemons markets, mandatory warranty may reduce the ability to signal quality by offering a contractual … warranty and, therefore, induce market failure. However, our theoretical analysis shows that mandatory warranty can even …