Recommended readings (Machine generated): George A. Akerlof (1970), 'The Market for 'Lemons': Quality Uncertainty and the Market Mechanism', Quarterly Journal of Economics, 84 (3), August, 488-500 -- Franklin Allen (1984), 'Reputation and Product Quality', RAND Journal of Economics, 15 (3),...

"The powerful theorems of welfare economics operate under a range of assumptions. Two of the most significant are the existence of competitive markets for all goods and services - including futures markets - and the unbounded rationality of all economic agents who act independently to maximize...