If there were no asymmetry in the information that a borrower and a lender had, could there

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If there were no asymmetry in the information that a borrower and a lender had, could there still be a moral hazard problem?

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Economics of Money, Banking and Financial Markets

ISBN: 978-0321598905

9th Edition

Authors: Frederic S. Mishkin

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Question Posted: Aug 12, 2012 04:13 AM

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If there were no asymmetry in the information that a borrower and a lender had, could there

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Yes there will be moral hazard problem because even if you know that a bo...View the full answer

Economics of Money, Banking and Financial Markets

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