Asymmetric Information Problems Arise

Multiple Choice

Asymmetric information problems arise:

A) in horizontally integrated firms, but not vertically integrated firms.
B) in vertically integrated firms, but not horizontally integrated firms.
C) in both vertically and horizontally integrated firms.
D) only in firms that do not have the advantage of either horizontal or vertical integration.
E) only when a single firm is both horizontally and vertically integrated.