Consider a market for used cars. There are two types of cars: "good" and "bad". Good cars are worth $10,000 to buyers and $5,000 to sellers, while bad cars are worth $6,000 to buyers and $4,000 to sellers. Fraction p of all cars are good. Assume that each seller knows the type of their own car, but that the buyers cannot observe the type of any car. All agents are risk-neutral and have quasilinear utility