You tell the bank loan officer that you would like to borrow money to purchase a car. In reality you intend to use the money to pay off your losing bets on the Super Bowl. This is an example of
A) the problem of a double coincidence of wants.
B) the problem of asymmetric information.
C) high transactions costs.
D) the use of financial markets for illicit purposes.
Correct Answer:
Verified
Q49: In a well-functioning financial market, the prices
Q50: When a borrower issues a debt instrument
Q51: Which of the following is an example
Q52: Which of the following would be most
Q53: The amount that a borrower borrows is
Q55: Financial markets
A)generally deal only with the purchase
Q56: An automobile loan is likely to be
Q57: Financial markets provide arrangements for
A)direct finance.
B)indirect finance.
C)financial
Q58: Which of the following is an example
Q59: Interest is best thought of as
A)a rental
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents