There are two types of people in the economy: low and high risk. Each earns $100. When they are healthyr they get to consume the full $100. When they are ill they have to pay $100 of medical costs and have 0 left for consumption The government is has heard about adverse selection and is considering offering a single insurance plan and making everyone buy it. Using the information in the table below determine what plan the government will offer. The government's insurance plan will require people to pay a premium [tax] of $' 'when healthy and will give them a benet of $| lwhen ill. v=w-: Risk of illness 1 0% 50% Percent of Population 730% 30%