Question.1545 - Week 7 Discussion | GradedDescribe either an adverse selection or moral hazard problem a company is facing. What is the source of the asymmetric information? Who is the less-informed party? Are there any wealth-creating transactions not consummated as a result of the asymmetric information? If so, could you consummate them? What advice/recommendations would you give the company? Post your answer to the discussion board.Response ParametersThe discussion board will be set in Canvas to require students to contribute their own response to the prompt prior to reading what classmates have posted. Each student will submit an initial response posting to reflect on all aspects of the prompt. Conclusions must be defended with evidence in appropriate APA format, which means both in-text and end-of-text citations should be included.Initial post due: Wednesday by 11:59 p.m. ETPeer Response ParametersIn addition, each student will submit at least two response postings to contribute additional insights through conversation with classmates. The responses must be substantive and must develop the discussion by responding to and reflecting on what the original student has contributed. It is often an effective strategy to contribute additional applications and examples relevant to what the original posting has introduced, and/or provide counterexamples or a diverging perspective. APA citations are required for response postings as well. It is important to be civil, but it is also important to go beyond statements like, “I agree” or “Good job” or “This week was difficult, but your posting made everything clear.”Number of peer responses: 2Peer response posts due: Sunday by 11:59 p.m. ETPoints: 50
Answer Below:
In xxxxx had xxxx recall xx Infant xxxxxxx product xxxxx was xxxxxxxx by xxxxxx Laboratories xx concerns xx Salmonella xxxxxxxx This xx part xx the xxxxxxx in xxxxx the xxxxxxx had xxxxx a xxxxxxxxxxx amount xx moral xxxxxx and xxxxxxx concern xxx company xxx two xxxxxxx before xxxxxx its xxxxxxxx public xxxxx it xxxxx remain xxxxxx about xxx issues xxx ensure xxxx the xxxxxx in xxxxx of xxxxxxx recall xxx loss xx reputation xxxxx be xxxxxxx It xxxxx have xxxx the xxxxxx within xxxxxxx domain xxx reduced xxxxxxx losses xxxxxxx it xxxxxx the xxxxxx option xx making xxx concerns xxxxx to xxx public xxxxx involved xxxx in xxxxx of xxx recall xx the xxxxx and xxxxxxxx possible xxxxx term xxxx of xxxxxx reputation xxxxxxx in xxx long xxx it xxx able xx reduce xxx losses xxxx potential xxxxxx from xxxxxxxxx parents xxx long xxxx impact xx its xxxxx The xxxxxxxx of xxxxxxxxxx information xx faced xx the xxxxxxxxx who xxx not xx the xxxxxxxx to xxxx the xxxxx nature xx issues xxxxx by xxxx owing xx the xxx of xxx products xx the xxxxxxx The xxxxxxxxx are xxx able xx understand xxx exact xxxxxx and xxxxxx on xxx problem xxxxx K xxxxxxx Entire xxxxxxx of xxxxxxxxxxx are xxxxxxxxx to xxx company xxx unless xxx company xxx informed xxx public xxxxx the xxxxxx consumers xxxxx have xxxx in xxx dark xxx would xxxx continued xx make xxx of xxxxxxxxxxx hazardous xxxxxxxx The xxxxxxxxxxxxx party xx this xxxx is xxx consumer xxxx of xxx company xxxx do xxx have xxxxxx to xxxxxxxx details xxx extent xx the xxxxxxx There xx lack xx awareness xx the xxxx of xxx consumers xxxxxx the xxxxxxx shares xxxxxxxxxxx There xx significant xxxxxx of xxxxxxxxxxxxxxx transaction xxxxx is xxxx in xxx hands xx the xxxxxxx If xxx company xxx selected xxx option xx withholding xxx information xxxx public xx could xxxx avoided xxx recall xx the xxxxxxxx from xxx shelves xxx reduce xxx chance xx losses xx the xxxxx term xx would xx necessary xxx the xxxxxxx to xxxxxxx this xxxxxxxxxxx to xxx aggrieved xxxxxxx at xxx earliest xxxxxxxx opportunity xxxx kind xx conditions xxxx ensure xxxx the xxxxxx and xxxxxx risks xx the xxxxxxxxx would xx avoided xxx there xxxx be xxxxx for xxxxxxxxx long xxxx support xxx the xxxxxxxxx References xxxxx K xxxxxxx I xxxxxxxx of xxxxxxx recalls xxxxxxxxxxxxxx of xxxxxx initiators xxx causes xx recall xxxxxxxxxx and xxxxxx Chain xxxxxxxxxx An xxxxxxxxxxxxx Journal xMore Articles From Economics
.ico)
.ico)
.ico)
.ico)
