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Explain the lemons problem in terms of financial instruments and the role of financial intermediaries in reducing this problem. Don't use the automobile reference in answering this question.
Business Management, Management Studies
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Shelly's preferences for consumption and leisure can be expressed as U(C, L) = (C - 100) (L - 40). This utility function implies that Shelly's marginal utility of leisure is C - 100 and her marginal utility of consumptio ...
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