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November 21, 2021

The Problem of Asymmetric Information

Order Instructions

For this discussion, your focus will be to think through what asymmetric information, moral hazard, and adverse selection have to do with hiring a police officer.

Instructions

Consider the following statement:

• Many police officer positions require the applicant to have a college degree even though the tasks of a police officer rarely call upon college course material.

In your discussion post, address the following:

• Speculate on why police departments do not increase their applicant pool by dropping this requirement and how asymmetric information, moral hazard, and adverse selection are involved?

Note: In your discussion posts for this course, do not rely on Wikipedia, Investopedia, or any similar website as a reference or supporting source.

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