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Author Question: A person covered by a generous insurance plan smokes more cigarettes than he does normally. This is ... (Read 78 times)

fasfsadfdsfa

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on: Jun 30, 2018
A person covered by a generous insurance plan smokes more cigarettes than he does normally. This is an example of a:
 a. lemon problem.
 b. moral hazard.
 c. adverse selection.
  d. risk selection.

Question 2

A risky borrower can pay a lower interest rate if:
 a. she invests the amount in a profitable business.
  b. she can assure the lender of a low inflation rate.
  c. she makes a promise to repay within a short interval.
  d. she can arrange for a collateral.


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ky860224

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Reply #1 on: Jun 30, 2018
Answer to Question 1

b

Answer to Question 2

D


fasfsadfdsfa

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Reply 2 on: Jun 30, 2018
YES! Correct, THANKS for helping me on my review

kalskdjl1212

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Reply 3 on: Yesterday
:D TYSM

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