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    Money and Banking Study Set 1
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    Exam 8: Financial Structure, Transaction Costs, and Asymmetric Information
  5. Question
    When Banks Refuse to Lend to Borrowers at Very High
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When Banks Refuse to Lend to Borrowers at Very High

Question 34

Question 34

True/False

When banks refuse to lend to borrowers at very high rates of interest, they are trying to alleviate the moral hazard problem.

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