Final answer:
Goods deemed unfit for exchange are difficult to trade, especially in markets with imperfect product-quality information. The WTO allows nations to set health and safety standards that must be scientifically based and non-discriminatory, affecting both domestic and imported goods' ability to be sold.
Step-by-step explanation:
Sales of goods and services that are deemed unfit for exchange can pose significant challenges in a market economy. In a situation where information about the quality of products is highly imperfect, markets may struggle to properly function, as buyers and sellers grapple with uncertainty. For goods and services to be traded, they must be considered valuable by others; however, the ability to engage in trade can be heavily influenced by the consumer's perception of quality and the regulatory standards enforced by governing bodies. The World Trade Organization allows countries to set their own health and safety standards based on science that applies uniformly to both domestic and imported goods, preventing discrimination between countries. This ensures that all consumer goods that are sold meet specific safety standards.