The optimal amount of insurance purchased determines the optimal consumption level in each "state" as indicated before, and we have standard Walrasian demand functions c(p, m) and c(p, m), for the consumption of the two goods as usual, (where m = w + pw2, but that is not important). Take as given that both c and c are normal goods for the consumer's preferences here. Demonstrate that the consumer may consume either less or more of good 1 as the price of insurance q decreases. [Note: yes, I am asking about the sign of a derivative of a function you don't know, so you cannot just take the derivative. No, you also don't need the implicit function theorem, this is an 'economics' question! Yet, the question has a short and simple answer of maybe 3 or 4 lines.]