market for lemons
n.— Note: Coined by George Akerlof, who won a Nobel Prize in Economics for the paper he wrote that popularized the term. «Indeed, it would seem that a “market for lemons” is rapidly developing in credit markets. This is an extreme example of Gresham’s Law wherein investors believe that the disclosure by financial institutions of their credit exposure has been very poor and hence they have no choice but to price everything as if it were a “lemon” rather than a good quality credit.» —“‘Market for lemons’ rapidly developing” by Hugh Dougherty The Australian (Sydney, Australia) Dec. 3, 2007. (source: Double-Tongued Dictionary)
Further reading
In 1971, when a new public library opened in Troy, Michigan, famous authors and artists were invited to write letters to the city’s youngest readers, extolling the many benefits of libraries. One of the loveliest was from E.B. White, author of...
She sells seashells by the seashore. Who is the she in this tongue twister? Some claim it’s the young Mary Anning, who went on to become a famous 19th-century British paleontologist. Dubious perhaps, but the story of her rise from seaside...