Monday, 14 December 2020

Asymmetric information



Asymmetric information occurs when one party knows more about an economic transaction or asset than the other party does.

When a seller (borrower, a seller of securities) knows more than a buyer (lender or investor, a buyer of securities), only trouble can result. 


#economics #money #Banking #StockMarket $LK
source: Money and Banking Vol 2



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