Q. 8: Draw the utility of a risk-averse individual with respect to wealth and illustrate why the person would prefer a certain outcome over an uncertain outcome if both outcomes have the same payoffs. Q. 9 (a): Define moral hazard and adverse selection. What is the difference between the two? Q. 9 (b): Define public and private goods. What is the difference between the two? Q. 10: What are the necessary and sufficient conditions of maximizing f(x) with respect to x