Information Asymmetry Is Not a Problem When

question 34

Multiple Choice

Information asymmetry is not a problem when:

• A)the wants of both parties are aligned with one another.
• B)the wants of both parties are opposed to one another.
• C)the constraints of both parties are identical.
• D)neither party has any constraint.

---

Definitions:

Awareness

The state or condition of being conscious of something, such as a brand or product, which is often the first stage in the marketing funnel.

Hierarchy of Effects

A sequence of stages a consumer goes through, from awareness to knowledge, liking, preference, conviction, and finally purchase of a product or service.

Last Stage

The final phase in a process, such as in product development or the life cycle of a product in the market.

Interest

A charge for borrowing money, typically a percentage of the borrowed amount, or intense curiosity or concern in something.