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QUESTION 5 Explain and discuss how information asymmetry can impact economic efficiency. In your answer cover the following: a) What is adverse selection? Support your

QUESTION 5

Explain and discuss how information asymmetry can impact economic efficiency. In your answer cover the following:

a) What is adverse selection? Support your answer with a relevant example.

b) Why is moral hazard is an economic problem?(6marks)Support your answer with an appropriate example.

Write with your own words, I need. submit it for plagichecking program

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