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Asymmetric information question 02 Asymmetric Information and Counteracting Institutions 4 Points Akerlof claims that numerous institutions arise to counteract the effects of quality uncertainty and

Asymmetric information question

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02 Asymmetric Information and Counteracting Institutions 4 Points Akerlof claims that "numerous institutions arise to counteract the effects of quality uncertainty" and he provides four examples of such counteracting institutions. Please provide two examples of institutions that counteract against the problems of asymmetric information. Briefly describe the specic problem that each institution is offsetting and exactly how each it mitigates the problem. Your examples do not need to come from Akerlof. Example 1: Chains could help to counteract against the problems of asymmetric information. The well- known chain restaurants or hotels have similar quality and price around the countries or even the worldl Example 2: Enter your answer here

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