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Suppose that you buy insurance at an actuarially fair premium. If you are healthy and uninjured you can earn $20,000. But there is a 4%

Suppose that you buy insurance at an actuarially fair premium. If you are healthy and uninjured you can earn $20,000. But there is a 4% chance of an injury in which case you will earn nothing. This is the risk that you are insuring against. Which of the following would represent the value of the goods consumed if you're not injured or if you are injured, respectively

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