Asymmetric information,

Asymmetric information,.

1. Explain briefly with examples what ‘Asymmetric information, moral hazard and adverse selection’ means and how they are connected (Provide proper source, eg. textbook or journal article). 2. Give one ‘real life example (market) of adverse selection’ and discuss how it can be (and possibly is) avoided. Base your discussion on reliable sources.

Asymmetric information,