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Match the situation with the corresponding type of information asymmetry. ( M= Moral hazard, A= Adverse selection, P= principal-agent problem) a) ______ a student studies
Match the situation with the corresponding type of information asymmetry. ( M= Moral hazard, A= Adverse selection, P= principal-agent problem)
a) ______ a student studies less after professor tells the class that no one will get less than 50% on a quiz.
b) ______ a cab driver takes an out of town rider on a longer route to their destination.
c) ______ an unhealthy person buys health insurance.
d) ______ a CEO uses company funds to buy a marble bathtub.
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