How adverse selection-moral hazard contribute to depression


Question: How an understanding of adverse selection and moral hazard can help us better understand financial crises. The greatest financial crisis faced by the United States was the Great Depression, from 1929 to 1933. Go to https://www.amatecon.com/greatdepression.html. This site contains a brief discussion of the factors that led to the Great Depression. Please help writing a summary explaining how adverse selection and moral hazard contributed to the Great Depression.

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