Because information is scarce Question 1 options: A) monitoring managers gives rise to costly state verification. B) government regulations, such as standard accounting principles, have no impact on problems such as moral hazard. C) helps explain why equity contracts are used so much more frequently to raise capital than are debt contracts. D) developing nations do not rely heavily on banks for business financing.

A) monitoring managers gives rise to costly state verification.

Explanation:

Because information is scarce monitoring managers gives rise to costly state verification.

productive most commonly means: achieving or producing a significant amount or result.

explanation:

productive can also mean:

these depend on how the word productive is used. most likely productive will mean   achieving or producing a significant amount or result.