Market for Lemons (10 points) Consider the following version of Akerlof's (1970) "Market for Lemons" model. There is a continuum of buyers and sellers, the mass of each being normalized to one. The sellers produce goods of quality q {l, h}, where h > l. Each seller can produce only one unit of output. The cost of production of one unit of good of quality q is cq. Each buyer demands at most one unit of the good and has value vq for the good of quality q. Nature moves first and defines the type of the seller: high quality with probability (0, 1), and low quality with probability 1