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Suppose we have a market for used solar panels. Buyers value lemons (bad quality panels) at $6000 and plums (good quality panels) at $8000. The

Suppose we have a market for used solar panels. Buyers value lemons (bad quality panels) at $6000 and plums (good quality panels) at $8000. The reservation price of lemon owners is $4000 and the reservation price of plum owners is $7000. The share of lemons in this market is 0.50. What happens in this market? All solar panels sell in this market. Only lemons sell in this market. Only plums sell in this market. No panels are sold in this market

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