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Most individuals save at banks rather than lend directly because: the bank creates information asymmetry. moral hazard exists only when individuals make loans directly to

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Most individuals save at banks rather than lend directly because: the bank creates information asymmetry. moral hazard exists only when individuals make loans directly to borrowers, it does not occur when banks issue loans. banks can reduce the cost of information asymmetry. information asymmetry is a problem for individuals but not for banks

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