Costly state verification means the same as
A) specialized lending.
B) agency costs.
C) monitoring.
D) all of the above.

Question

Quizplus · Accepted Answer

Costly state verification refers to the expenses associated with monitoring or verifying the actions or performance of agents (such as borrowers by lenders) to ensure compliance with agreed terms. This concept is closely related to the idea of monitoring costs in the context of agency costs, but it is most directly synonymous with "monitoring" rather than encompassing all the options listed.

Costly State Verification Means the Same as