Find a news story/article, from a reliable source, related to any topic covered (or to be covered) in
the course. For example, some weeks ago, during the lecture I shared this case with you: Renovate
America Masked Borrower Debt Woes (https://www.wsj.com/articles/renovate-america-one-ofamericas-fastest-growing-lenders-didnt-disclose-it-made-payments-to-some-borrowers-
1488969001). From that article, you can see how there was a problem of asymmetric information.
One possible solution would be to provide more information to the potential investors who might
buy the loans issued by Renovate America.
Your task is the following: Write a short essay (no more than 400 words) where: (1) you will
summarize the news story/article; (2) you will explain how it is related to a topic from the course;
and (3) based on the material we cover in class, how would you solve the problem or how would
you adapt/improve the theory (like some regulation) in order to solve the problem you described.
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