This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: The difference between moral hazard and adverse selection is a. moral hazard has to do with ... (Read 54 times)

justinmsk

  • Hero Member
  • *****
  • Posts: 524
on: Jul 1, 2018
The difference between moral hazard and adverse selection is
 a. moral hazard has to do with unobservable characteristics of individuals
  b. moral hazard has to do with unobservable actions of individuals
  c. adverse selection is when individuals change their behaviors because of a contract
  d. adverse selection is when you choose the wrong answer on a test

Question 2

The invisible hand using Adam Smith's terminology refers to
 a. government control of the market.
  b. market forces working through the price mechanism.
  c. the money supply that serves to keep the economy working smoothly.
  d. the role of innovation in maintaining a steady rate of growth.
  e. behind-the-scenes policy making to influence how markets allocate scarce resources.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

jliusyl

  • Sr. Member
  • ****
  • Posts: 328
Reply #1 on: Jul 1, 2018
Answer to Question 1

b

Answer to Question 2

B


justinmsk

  • Member
  • Posts: 524
Reply 2 on: Jul 1, 2018
YES! Correct, THANKS for helping me on my review

robbielu01

  • Member
  • Posts: 336
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Elderly adults are living longer, and causes of death are shifting. At the same time, autopsy rates are at or near their lowest in history.

Did you know?

Before a vaccine is licensed in the USA, the Food and Drug Administration (FDA) reviews it for safety and effectiveness. The CDC then reviews all studies again, as well as the American Academy of Pediatrics and the American Academy of Family Physicians. Every lot of vaccine is tested before administration to the public, and the FDA regularly inspects vaccine manufacturers' facilities.

Did you know?

It is widely believed that giving a daily oral dose of aspirin to heart attack patients improves their chances of survival because the aspirin blocks the formation of new blood clots.

Did you know?

Children with strabismus (crossed eyes) can be treated. They are not able to outgrow this condition on their own, but with help, it can be more easily corrected at a younger age. It is important for infants to have eye examinations as early as possible in their development and then another at age 2 years.

Did you know?

Earwax has antimicrobial properties that reduce the viability of bacteria and fungus in the human ear.

How to Factor a Difference of Squares How to Factor a Difference of Squares
Resting Membrane Potential: Voltage Difference Resting Membrane Potential: Voltage Difference
Activation and Clonal Selection of a Cytotoxic T Cell Activation and Clonal Selection of a Cytotoxic T Cell
Directional Selection in Peppered Moths Directional Selection in Peppered Moths
Principles of Natural Selection Principles of Natural Selection
Responses to artificial and natural selection Responses to artificial and natural selection
Video: Coronary Heart Disease Animation

For a complete list of videos, visit our video library