Information and efficient markets
Information and efficient markets
An information gap exists when buyers or sellers lack the full information needed to make the welfare-maximising decision. Their choices may then fail to reflect the true costs, benefits, quality or risks of a good.
Step-by-step lessons on Edexcel A A Level Economics 1.3.4 Information gaps. Each one builds up to exam-style questions. Start with the core supply-and-demand models before moving on to the more evaluation-heavy macroeconomic policy topics.