Lecture, Barnard's Inn Hall, Monday, 20 Jan 2025 - 18:00

The Hidden Risks of "I Know Something You Don't"

Two business people, one holding finger to his lips

Imagine buying insurance, but the company knows you're less likely to get sick than you do. That's information asymmetry in action! This lecture explores hidden traps in insurance and loan markets caused by one side knowing more than the other. These sneaky problems can lead to unfair deals and even major financial meltdowns. We'll examine how rules try to fix these issues, and the surprising ways they can sometimes backfire.

Professor Raghavendra Rau

Professor Raghavendra Rau

Mercers’ School Memorial Professor of Business

Professor Rau is the Sir Evelyn de Rothschild Professor of Finance at Cambridge Judge Business School. He is a past president of the European Finance...

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