Write a report that addresses the following issues:

Explain the economic concepts of “market of lemons” and “moral hazard effect”.

Give two examples (either real world examples or hypothetical examples would be fine) in information security context, one for “market of lemons” and one for “moral hazard effect”.

Suppose you are an information security consultant, briefly describe what counter? measures (e.g., they could be technology, policy, or managerial measures) you would use to address the situations of “market of lemons” and “moral hazard effect” in the two examples you described above. In the second task, you should carefully study the “frugal innovation” presentation posted on blackboard, and conduct your own research on the topic of technology innovation with limited resources.

Answer rating: 100% (QA)

The Economics of Information Security The Market for Lemons is an economic concept that discusses about the information asymmetry that occurs when a seller knows more about the product than the buyer ... View the full answer