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Which of the Following Is a Case of Asymmetric Information

Question 15

Multiple Choice

Which of the following is a case of asymmetric information?


A) The buyer and seller of a used car don't know how long the car will operate.
B) A provider of health insurance does not know whether a specific client is a smoker or not.
C) Neither you nor your home insurance company has perfect information about whether a flood will occur.
D) None of these are examples of asymmetric information.

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