Because There Is an Imbalance of Information in a Lending

question 23

Essay

Because there is an imbalance of information in a lending situation,we must deal with the problems of adverse selection and moral hazard. Define these terms and explain how financial intermediaries can reduce these problems.

Grasp the significance of branding and product identification in marketing.

Understand the concept and examples of branded and unbranded products.

Comprehend the stages of the product life cycle and strategies applicable at each stage.

Identify different types of products such as consumer, industrial, and services.

---

Definitions:

Submission

in legal terms means the act of presenting a document, proposal, or application to a person or authority for consideration or judgment.

Arbitration

A method of dispute resolution where an impartial third party, the arbitrator, makes a decision to resolve a conflict outside of court.

UPA

Uniform Partnership Act; a law in the United States that provides a basic framework for the operation of partnerships in the absence of an express agreement.

Wrongful

Referring to actions or conduct that are unjust, improper, or illegal.