The failure of two parties to a transaction to have the same relevant information. Examples are buyers who know less about product quality than sellers, and lenders who know less about likely default than borrowers. Both are common in international markets.
Information that is known to some people but not to other people.
One group has more information about, say, on the well being of the company, than another. An example would be managers having more intimate knowledge about the company than a typical shareholder.
In some markets, all participants do not have the same information. For example, in the market for used cars, sellers frequently have better information regarding the quality of a used car than do prospective buyers.
a situation in which the parties to a transaction have different information, as when the seller or a used car has more information about its quality then the buyer
One side of the market - either buyers or sellers - has better information about the good than the other.