In View of the Possible Need for Government Action in Markets

question 129

Multiple Choice

In view of the possible need for government action in markets where asymmetric information is a problem, which of the following is a valid concern?

• A)The government rarely has more information than the private parties.
• B)Private markets can sometimes deal with information asymmetries on their own.
• C)The government is itself an imperfect institution.
• D)All of the above are valid concerns.

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Definitions:

Evidence

Information or details presented in support of an assertion, claim, or case, often used in legal proceedings to prove or disprove something.

Legitimate Reason

A valid, acceptable explanation or justification for an action or decision, often used in legal and professional contexts.

Documents

Written, printed, or electronic records that provide evidence of something or detail instructions, data, or information.

Spoliation

The intentional, reckless, or negligent withholding, hiding, altering, or destroying of evidence relevant to a legal proceeding.