Screening is
a. actions by the informed party to reveal her true risks
b. actions by the informed party to conceal her true risks
c. actions by the uninformed party to uncover the true risks
d. actions by the uninformed party to conceal the true risks
c
You might also like to view...
The graph shows the market for textbooks. If the government introduces a tax of $20 a textbook, then the price paid by buyers
A) increases by $20. B) increases to $80 a textbook. C) decreases to $60 a textbook. D) is $70 a textbook. E) does not change because the demand for textbooks is perfectly elastic.
________ by the Fed means that the Fed ________
A) Credit easing; bought private securities from financial institutions B) Credit easing; made loans directly to home buyers C) Credit easing; tried to lower long-term interest rates D) Quantitative easing; required private banks to increase their lending to home buyers E) Quantitative easing; decreased in the required reserve ratio