please answer the following questions with explanations

Multiple-Choice Review Questions 1. Which of the following is true about private information? C- PI'Ot maximization L It has value. d. marginal analysis II. Everyone has access to it. 9- adverse selection III. It can distort economic decisions. 4_ Moral hazard is the result of u. Ionly on. asymmetric information. D. II only b. signaling. c. III only c. toxic waste. (1- I and III only d. adverse selection. 6. I, II, and III a. public information. 2- Due to adverse selection, 5. A deductible is used by insurance companies to a mutually benecial trades g0 unexploited. :1. allow customers to pay for insurance premiums b. people buy lemons rather than other fruit. using payroll deduction. c. sick people buy less insurance. d. private information is available to all. a. public information is available to no one. . deal with moral hazard. . make public information private. . compensate policyholders fully for their losses. . avoid all payments to policyholders. 0005' 3. When colleges use grade point averages to make admis- sions decisions, they are employing which strategy? a. signaling b. screening 2. Suppose individuals or corporations (for example home-buyers or banks) believe that the government will "bail them out" in the event that their decisions lead to a financial collapse. This is an example of what problem created by asymmetric information? How does this situation lead to inefficiency? What is a possible remedy for the