Which of the followings is NOT an advantage of financial institutions in consumption smoothing? A. They help to solve moral hazard and adverse selection issues. B. They help to share risks. C. They help to reduce transaction costs. D. They help to create more jobs.

Which of the followings is NOT an advantage of financial institutions in consumption smoothing? A. They help to solve moral hazard and adverse selection issues. B. They help to share risks. C. They help to reduce transaction costs. D. They help to create more jobs.

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter11: Strategic Cost Management

Section: Chapter Questions

Problem 1DQ: What does it mean to obtain a competitive advantage? What role does the cost management system play...

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Question

Which of the followings is NOT an advantage of financial institutions in consumption

smoothing?

A. They help to solve moral hazard and adverse selection issues.

B. They help to share risks.

C. They help to reduce transaction costs.

D. They help to create more jobs.

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