A system financed primarily through retrospective fee-for-service ...

[krzymel]

A system financed primarily through retrospective fee-for-service insurance reimbursement is: .
 a. A closed system.
  b. An open-ended system.
  c. A cost-plus system
  d. An efficient system.
  e. Both b and c.

Question 2

What is the term for the contract that maximizes the principal's payoff subject to the constraint that the principal lacks the agent's private information?
 a. First best
  b. Second best
  c. Third best
  d. Pareto optimum

[livaneabi]

Answer to Question 1

E

Answer to Question 2

b

[krzymel]

Thanks for the timely response, appreciate it

[okolip]

TYSM