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Consider eBay, an online auction/retail facilitation company. You can make an argument that its policies and standards for listing items for sale contribute to the
Consider eBay, an online auction/retail facilitation company. You can make an argument that its policies and standards for listing items for sale contribute to the more efficient functioning of the marketplace for used goods in the following ways: by aggregating and making auctions searchable, eBay brings together more sellers of goods and services; and by requiring and/or encouraging detailed listings with pictures and disclosures, eBay improves the availability of information (i.e., reduces informational imperfections). This, in turn, increases both the supply and the demand for such goods. If this is indeed the case, what is the impact of eBay on (1) equilibrium price and (2) equilibrium quantity of goods and services sold
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