FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

When an insurer chooses to sell to individuals it expects to be low-cost and excludes those from coverage that it expects to incur high costs,

When an insurer chooses to sell to individuals it expects to be low-cost and excludes those from coverage that it expects to incur high costs, it is called______________________. Group of answer choices adverse selection competitive evaluation cherry picking moral hazard

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Price theory and applications

Price theory and applications

Authors: Steven E landsburg

8th edition

538746459, 1133008321, 780538746458, 9781133008323, 978-0538746458

More Books

Students also viewed these Economics questions

Question

★★★★★
Two identical cars, one on the moon and one on the earth, have the same speed and are rounding banked turns that have the same radius r. There are two forces acting on each car, its weight mg and the...

Answered: 1 week ago

Question

★★★★★
What will happen to the companys profi ts if the dollar strengthens? What if the dollar weakens? LO.1

Answered: 1 week ago

Question

★★★★★
Let M(t) = E[D(t)] in Example 5.21. (a) Show that M(t + h) = M(t) + et h + o(h) (b) Use (a) to show that M (t) = et (c) Show that M(t) = (1 et )

Answered: 1 week ago

Question

★★★★★
A candy company distributes boxes of chocolates with a mixture of creams, toffees, and cordials. Suppose that the weight of each box is 1 kilogram, but the individual weights of the creams, toffees,...

Answered: 1 week ago

Question

★★★★★
CAN ANYONE PLEASE HELP TO ANSWER QUESTION C PATIENT (patient_id, patient_name, age, address, sex, phone, doctor_id, hospital id) DOCTOR(doctor_id, doctor_name, specialize, salary) HOSPITAL...

Answered: 1 week ago

Question

★★★★★
1. What is the business reason for China Noah's potential currency exposure? Does the company really need to subject itself to substantial exchange rate risk? Is the risk "material" to China Noah? Do...

Answered: 1 week ago

Question

★★★★★
1 Find the limit when h 0 of the function sin h h What is the rate of convergence (1) Find the limit when h O of the function sin (h) What is the rate of convergence?

Answered: 1 week ago

Question

★★★★★
need help with all parte. will upvote!:) Andretti Company has a single product called a Dak. The company normally produces and sells 89,000 Daks each year at a selling price of $60 per unit....

Answered: 1 week ago

Question

★★★★★
3 . Individual Problems 1?-4 Your company has a customer who is shutting down a production line, and it is your responsibility to dispose of the extrusion machine. The company could keep it in...

Answered: 1 week ago

Question

★★★★★
Dean and Ellen Price are married and have a manufacturing business. They bought a piece of business equipment (7-year personal property) on 4/1/2018 for $50,000. Use half-year convention to calculate...

Answered: 1 week ago

Question

★★★★★
Describe the strengths and weaknesses of the pre-trial testimony of expert witnesses Dr. Morgan Sain, Forensic Scientist Dale Ryan, and Dr. Leslie Torgeson and the forensic evidence on state v. sarah...

Answered: 1 week ago

Question

★★★★★
Mack's Juices produces and bottles a line of fruit juices. Themanufacturing process entails mixing and adding juices and otheringredients at the bottling plant, which is a part of BlendingDivision. 2...

Answered: 1 week ago

Question

★★★★★
1. Distinguish among an employee, an independent contractor, and an agent. 2. Explain how a court will determine whether a person is an employee rather than an independent contractor. 3, Summarize...

Answered: 1 week ago

Question

★★★★★
What is a compensating balance? Why do they arise? Why should financial statement users be aware of them?

Answered: 1 week ago

Question

★★★★★
What is meant by a noninterest-bearing note receiyable? How are such notes valued when received in payment for sales?

Answered: 1 week ago

Question

★★★★★
Distinguish between the procedures used in valuing securities classified as trading versus those classified as available-for-sale for purposes of (1) computing income for the period and (2) balance...

Answered: 1 week ago

Previous Question Next Question