When the monopoly insurer cannot observe the care taken by the insured party to avoid an accident, the most profitable contract for it:
a. offers full insurance at a higher price than the full-information policy.
b. offers full insurance at a lower price than the full-information policy.
c. offers partial insurance at a higher price than the full-information policy.
d. offers partial insurance at a lower price than the full-information policy.
d
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In Table 9.2, Emily will lose no income if she becomes sick.
A. True
B. False
C. Uncertain
According to the World View titled "Jeffrey Sachs: Big Money, Big Plans," how did Columbia University economics professor Jeffrey Sachs expect extreme poverty to be eliminated by 2025?
A. Rich nations must quadruple their foreign aid flows now, and poor nations need to be more accepting of help. B. Rich nations must double their foreign aid flows now and then double them again in 10 years, while poor nations must develop full-scale, comprehensive plans for poverty reduction. C. Poor nations must develop full-scale, comprehensive plans for poverty reduction without the help of rich nations. D. Rich nations must double their foreign aid flows now and develop full-scale, comprehensive plans for the poor countries to reduce poverty.
Refer to the data provided in Table 10.2 below to answer the following question(s).
Table 10.2 
Refer to Table 10.2. Marginal revenue product of the ________ worker is $250.
A. second B. third C. fourth D. fifth
Which of the following countries achieved economic growth, in part, by reducing its population growth rate?
a. The former Soviet Union b. The United States c. The United Kingdom d. China e. Hong Kong