This question is broken into 4 parts. Please answer all parts.

A. Explain the relation between moral hazard and insurance premiums.

B. Now think about how people with different health risks assess insurance products with a given deductible, and explain how supporters of minimizing adverse selection should think about a proposal (say from Bernie Sanders) that all insurance policies should have zero deductibles and coinsurance.

C. Does community rating make the policy tradeoffs inherent in b harder or easier to manage?

D. Would a purchase mandate make the policy tradeoffs inherent in b + c harder or easier to manage?