Tools to help solve the adverse selection problem in financial markets include all of the following EXCEPT
A) diversification.
B) government regulations to increase information.
C) the use of financial intermediaries.
D) the private production and sale of information.
A
Economics
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The government plays no role in a market-based economy
Indicate whether the statement is true or false
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In an open market purchase, the Fed ________ government securities, which ________ bank reserves
A) buys, increases B) buys, decreases C) sells, increases D) sells, decreases
Economics