Private information is relevant information known by the party on one side of the transaction that is not observable by the party on the other side.

Question

Quizplus · Accepted Answer

Private information is information that is not observable by the other party involved in a transaction. This can create information asymmetry, where one party has more information than the other, potentially leading to market inefficiencies or unfair advantage.

Private Information Is Relevant Information Known by the Party on One