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Information failure

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Question 3

Priya purchases a refurbished professional laptop for £950. However, due to intermittent internal hardware faults that were not disclosed, she only derives £450 of utility from it during the three years that she owns it. What is likely to have occurred at the point of purchase to cause this?

Moral hazard

Information failure

Negative externalities of consumption

Opportunity cost

Information failure Questions

  1. A Level
  2. /Economics
  3. /Information failure