An indication that Insurance companies anticipate adverse selection is
a. they require a deductible
b. they do not 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
a
You might also like to view...
If Md = 2,600 – 200r, the MPC = .75, G=100, and T = 100 . If the central bank wants the interest rate to be r=2, then the money supply must be
a. 5. b. 400 c. 300 d. 3,000 e. not enough information was given.
According to recent research by Golden and Katz, __________ led the way in establishing high schools in the 1920s
a. the urban centers of the North b. the mid-Atlantic states c. California d. the Middle West, including Iowa and Nebraska
David has decided not to purchase another can of Stosh because his friends laughed at him the last time he purchased some. Stosh is no longer a popular item. David's decision is known as
A. positive market feedback. B. negative market feedback. C. price-leadership. D. negative-sum game.
The "negative-amortization" mortgage typically converts later to a
A. traditional mortgage with a higher payment. B. "exotic" mortgage with a lower payment. C. new "negative-amortization" mortgage with an even lower payment. D. traditional mortgage with a lower payment.