Question $64(1$ point$)$

The originate$-$to$-$distribute business model has a serious principal$-$agent problem since

$1)$ Mortgage brokers have incentive to make sure that the mortgagee is a good credit risk.

Borrowers had little incentive to disclose information about their ability to pay

Commercial and investment banks $($as well as rating agencies$)$ did not need to assess the quality of securities$.$

All of the above