1. How does the free-rider problem aggravate adverse selection and moral hazard problems in financial markets? 2. Explain how the separation of ownership and control in Canadian corporations might...

1. How does the free-rider problem aggravate adverse selection and moral hazard problems in financial markets?

2. Explain how the separation of ownership and control in Canadian corporations might lead to poor management.

3. Why can the provision of several types of financial services by one firm lead to a lower cost of information production?

4. How does the provision of several types of financial services by one firm lead to conflicts of interest?

5. How can conflicts of interest make financial service firms less efficient?