Explain how adverse selection and moral hazard contribute to financial crises.
The instructor only wants the question to cover the United States, not any foreign countries.
Explain how adverse selection and moral hazard contribute to financial crises.
Content: The essay is to be between 7 - 10 pages of actual written content, exclusive of
title page, references, tables, figures, or other supplements to your work. After an initial
introduction to your topic, you should provide pertinent research and analysis related to
your topic. Begin by discussing the key issue(s). Conduct your analysis of how the
research relates to your issue(s), and what you have learned. Next are your Conclusions,
which should be a brief summary of your key findings. Lastly, your Recommendations
will be what your thoughts and feelings are as related to the research you have just
discussed.
Format: Your essay should use APA Editorial Style rules including double-spacing
between lines, title page, headings and subheadings, a references section at the end,
citations, and in all other respects grammatically correct and consistent with APA
standards. Headings and subheadings should be used throughout, starting with an
Introduction where you introduce your article and what you will be covering in your
essay, sometimes this is called a Statement of Purpose. Next, there should be an Issue(s)
subheading where you lay out the central issue or issues. Not much discussion is usually
required here. Next, there should be a subheading for each key piece of research that you
discuss. Finally, there should be a Conclusions section where the key findings are briefly
reiterated and discussed. Lastly, a Recommendations section, which is where you add
your keen insights as, related to all of this research you have just discussed.
Research: In addition to the textbook, four to six research resources may be utilized.
Research should come primarily from financial academic journals. Newspapers such as
the Wall Street Journal, or Investor’s Business Daily may be used as well. Students are
discouraged from using most magazines or websites, as they are not considered scholarly,
and are not subject to the same standards of rigor and therefore are oftentimes highly
biased and inaccurate.
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