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The problem of adverse selection helps to explain which firms are more likely to obtain funds from banks and other financial intermediaries, rather than

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The problem of adverse selection helps to explain which firms are more likely to obtain funds from banks and other financial intermediaries, rather than from securities markets O why collateral is an important feature of consumer, but not business, debt contracts why direct finance is more important than indirect finance as a source of business finance O why banks securitize loans in their portfolio

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