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Which of the following is not true of adverse selection? It exists because information is perfect. It describes the problem a lender faces in identifying

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Which of the following is not true of adverse selection? It exists because information is perfect. It describes the problem a lender faces in identifying loan applicants as good or bad risk borrowers. It arises because borrowers have more information than lenders regarding their creditworthiness. It arises if lenders try to charge an average price to all applicants

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