Under asymmetric information, dishonest sellers lead to market unraveling in the lemons model. An additional cost of …

quality goods are able to use prices as a signaling device and this enables them to trade. However, not all sellers of high …

), Miyazaki (1977) and Spence (1978). Consumers have private information on their risk profile and the frequency with which they …

and commodities. By reinterpreting the variables, our model encompasses a broad range of adverse selection and signalling …

and commodities. By reinterpreting the variables, our model encompasses a broad range of adverse selection and signalling …

and commodities. By reinterpreting the variables, our model encompasses a broad range of adverse selection and signalling …

information frictions, and to analyze the impact of monetary policy on equilibrium outcomes. The main results show that private … information regarding the quality of an asset impairs its liquidity and reduces both trading volume and consumption. As a … money, as observed since the eruption of the global financial crisis. A policy intervention replacing information sensitive …