Which of These Describes an Example of Asymmetric Information in the Bond

question 5

Multiple Choice

Which of these describes an example of asymmetric information in the bond market?

• A)Bond issuers have longer-term goals than bond buyers.
• B)Bond issuers have better insight about their future profitability than bond buyers.
• C)Bond issuers and bond buyers have different experiences in the bond market.
• D)Bond issuers are more conservative about the future than bond buyers.