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If there's a market for lemons, you'll get two types of people: people who realize it's a market for lemons and stay clear of it—and people who don't realize this, and end up exploited by the market.

Tu quoque: "If you find out the car has water damage, don't buy it. If you find out the car was in an accident, don't buy it. If you find out the car was stolen, don't buy it."

Nobody wants to buy such cars; people are effectively tricked into buying such cars by the information assymetry inherent in the market. This is why there are lemon laws.

And just because there are good used cars for sale, doesn't mean it isn't a market for lemons. The good cars (and jobs) sell and sell quickly, while the bad cars (and jobs) stay on the market—so the market becomes saturated with bad cars/jobs, and the actual good cars/jobs become so rare that people invest more in pursuing them than they're worth, creating a sort of dollar-auction market failure.




Sorry for the OT.

> The good cars (and jobs) sell and sell quickly, while the bad cars (and jobs) stay on the market—so the market becomes saturated with bad cars/jobs, and the actual good cars/jobs become so rare that people invest more in pursuing them than they're worth, creating a sort of dollar-auction market failure.

This, at least in my experience, is exactly what happens with musicians seeking bands.


You can bet that for bands seeking musicians it look exactly alike.

The market for especialized labor is full of lemons on both directions. Yet, we don't get any coordinated action to increase transparency.




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