An indication that Insurance companies anticipate adverse selection is
a. they do not require a deductible
b. they classify clients into different risk types according to their claim history
c. they do not classify clients into different risk types according to pre-existing conditions
d. they do not require a co-payment
b
You might also like to view...
The labor demand curve:
A. is made up of workers who want to work for firms at each given wage. B. shows that the number of people who want to work increases as the wage increases. C. is provided by firms who want to hire workers at each given wage. D. shows number of workers who are willing and able to work at higher wages.
Which of the following statements is true?
A. The doctrine of laissez-faire advocates an economic system with extensive government intervention and little individual decision-making. B. In capitalism income is distributed on the basis of need. C. Adam Smith was the father of socialism. D. Most real-world economies are mixed economic systems.
A demand relationship in which a given percentage change in price will result in a less than proportionate percentage change in quantity demanded is
A. elastic. B. unit-elastic. C. inelastic. D. consistent with zero elasticity.
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. The economy is currently at Point A. The opportunity cost of moving from Point A to Point B is the
A. 30 LCD televisions that must be forgone to produce 60 additional OLED televisions. B. 90 LCD televisions that must be forgone to produce 20 additional OLED televisions. C. 30 LCD televisions that must be forgone to produce 20 additional OLED televisions. D. 120 LCD televisions that must be forgone to produce 40 additional OLED televisions.