Money and Banking: What Everyone Should Know Season 1 Episode 25 Asymmetric Information
- November 1, 2023
- 29 min
Asymmetric information occurs when one party in a financial transaction has more relevant information than another. Learn how this affects financial markets; in particular, the challenges it presents for borrowers and lenders. Also, discover why so few firms issue stocks and bonds, and why banks are so restrictive in regard to loan practices.