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Bank Management

P/F/332. Dealing with asymmetric information in banking

WORDS:
3000
DATE:
2005
PRICE:
39.99 GBP

The paper looks at the consequences of asymmetric (imperfect) information for commercial banks discussing Stiglitz-Weiss model and examining the notions of adverse selection and moral hazard. The activities of the banks to minimise the asymmetry of information are reviewed, strong and weak points of the Stiglitz-Weiss model are outlined.

 

KEYWORDS: f, dealing, asymmetric, information, banking,

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