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However, pressuring the seller to make a decision before they are ready, can result in the offer being rejected. True or False

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Final answer:

The statement about pressuring the seller is true; it can lead to the offer being rejected. Difficulty in agreeing on a price can arise from imperfect information, affecting the perceived value. The claim that no seller would sell below the equilibrium price is false due to practical market conditions.

Step-by-step explanation:

The statement, 'However, pressuring the seller to make a decision before they are ready, can result in the offer being rejected.' is indeed true. In any negotiation, especially in business transactions, applying undue pressure on a seller may backfire. Sellers often need time to consider the implications of an offer, and rushing them might lead them to reject the deal out of discomfort or uncertainty.

As for why a buyer and seller may find it difficult to agree on a price when there is imperfect information, it's primarily due to a lack of knowledge about the true value or quality of the product or service in question. This uncertainty can make it challenging to arrive at a price that reflects the fair market value and satisfies both parties.

The statement, 'In the goods market, no seller would be willing to sell for less than the equilibrium price.' is false because various factors can compel sellers to sell below the equilibrium price. For example, a need for quick cash flow, the presence of unsold inventory, or competitive pressures might drive sellers to accept lower prices.

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