Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Jun 12, 2024

A health insurer is planning on charging only one price to all of its customer's. They decide to charge $500 to everyone, which is equal

A health insurer is planning on charging only one price to all of its customer's. They decide to charge $500 to everyone, which is equal to the average cost of health care for the entire population. Which of the following is likely to happen?

A. the sickest people will not buy health insurance

B. all consumers will buy health insurance

C. no one will buy health insurance

D. The healthiest people will not buy health insurance

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Microeconomics

Authors: Douglas Bernheim, Michael Whinston

2nd edition

73375853, 978-0073375854

More Books

Students also viewed these Economics questions

Question

★★★★★

Using the factors that influence the natural unemployment rate, explain what could cause the natural unemployment rate to increase.

Answered: 1 week ago

Question

★★★★★

Suppose two households earn $40,000 and $56,000 respectively. What is the expected percent difference in wages between the children, grandchildren, and great-grandchildren of the two households if...

Answered: 1 week ago

Question

★★★★★

Two continuous random variables X and Y with RX = and RY = (2, 2) are related by X = tan Y. Find the density function of the random variable Y if it is known that the density of X is given by The...

Answered: 1 week ago

Question

★★★★★

Following is a selection of improperly recorded transactions that occurred during 2012 and a description of how each transaction was recorded by a township. Prepare the necessary entries to correct...

Answered: 1 week ago

Question

★★★★★

The extent to which a selection predictor, such as conscientiousness, can be measured consistently over time is referred to as: Multiple Choice Reliability Utility Validity Generalizability

Answered: 1 week ago

Question

★★★★★

Family Finance Co. (FFC), a publicly traded commercial bank located in South Carolina, has a December 31 year-end and has adopted the provisions of Accounting Standards Update (ASU) 2016-01,...

Answered: 1 week ago

Question

★★★★★

Overview You are an accountant for the Crestview Financial Services firm. You have been examining financial statements for a client called LMS Manufacturing Corporation. You recently discovered key...

Answered: 1 week ago

Question

★★★★★

Figuring out how to frame things comes from asking yourself the question, firm grasp of the obvious is something that great negotiators are able to do. O "What is really going on here?" O "Has your...

Answered: 1 week ago

Question

★★★★★

Which one of the following depends on the risk control function to provide a clear profile of the applicant's loss exposures and related hazards? Available answer options Select only one option A...

Answered: 1 week ago

Question

★★★★★

If Neon Lights, LLC has gross receipts of $25 million for the taxable year, they will not be considered an SSTB if less than what percentage of their gross receipts are attributable to an SSTB...

Answered: 1 week ago

Question

★★★★★

The CFO of Spotify Inc. has summarized its free cash flows for the next three years in the following table. The cash flows are expected to grow at a constant growth rate 2.00% afterwards. The company...

Answered: 1 week ago

Question

★★★★★

The price of a stainless steel, freezer refrigerator is $3,201.47. To own the refrigerator, you must make beginning-of-month payments of $33.50 and one final lump-sum payment at the very end of the...

Answered: 1 week ago

Question

★★★★★

2. As your starting point, take a situation at your workplace that often recurs, and answer the following questions: (a) Which elements are included? (b) How are the elements related to each other?...

Answered: 1 week ago

Question

★★★★★

A greater tendency to create winwin situations.

Answered: 1 week ago

Question

★★★★★

Improving creative problem-solving ability.

Answered: 1 week ago

Previous Question Next Question