Term
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Definition
| A situation in which one party to an economic transaction has less information than the other party. |
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Term
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Definition
| The situation in which one party to a transaction takes advantage of knowing more than the other party to the transaction. |
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Term
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Definition
| The actions people take after they have entered into a transaction that make the other party to the transaction worse off. |
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Term
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Definition
| A problem caused by agents pursuing their own interests rather than the interests of the principals who hired them. |
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Term
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Definition
| The idea that the winner in certain auctions may have overestimated the value of the good, thus ending up worse off than the losers. |
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