What are asymmetric information problems

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Question 1: What are asymmetric information problems and which tools can solve such problems? Please state which of the eight basic facts about financial structure each tool explains.

Question 2: What is the purpose of bank regulation? In your answer, identify some of the unintended consequences associated with safety-net arrangements.

Question 3: What are the advantages and disadvantages of fixed versus floating exchange rates and a managed float? Illustrate your answer with suitable diagrams.

Reference no: EM133110926

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