Which of the Following Is Used by Lenders to Reduce

question 19

Multiple Choice

Which of the following is used by lenders to reduce the problems that arise from asymmetries of information?

• A)patent contracts
• B)collateral
• C)decreased interest rates
• D)restrictive contents

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Definitions:

Diffusion Of Responsibility

A phenomenon where individuals are less likely to take action or feel responsible in the presence of a large group of people.

Bystander Effect

The concept within social psychology that describes how individuals are less prone to stepping in to help a victim when they are surrounded by other people.

Research Method

A systematic process to study and investigate phenomena, acquire new knowledge, or correct and integrate previous knowledge.

Psychologists And Psychiatrists

Professionals in the field of mental health where psychologists focus on psychotherapy and treating emotional and mental suffering with behavioral intervention, while psychiatrists are medical doctors who can prescribe medications.