You are in the market for a used car. At a used car lot, you know that

Question:

You are in the market for a used car. At a used car lot, you know that the Blue Book value of the car you are looking at is between $15,000 and $19,000. If you believe the dealer knows as much about the car as you do, how much are you willing to pay? Why?

Assume that you care only about the expected value of the car you will buy and that the car values are symmetrically distributed.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  answer-question
Question Posted: