New technology for producing plywood is developed. Which of the figures above best illustrates this change?

If a banker lacks enough information to determine exactly which applicants for a loan are good risks and which are bad risks, then he faces a(n) __________ problem

A) moral hazard B) adverse selection C) market failure D) disintermediation

The exponential function

A) is the inverse of the natural logarithm function. B) does not play an important role in modeling nonlinear regression functions in econometrics. C) can be written as exp(ex). D) is ex, where e is 3.1415….