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Author Question: A person covered by a generous insurance plan smokes more cigarettes than he does normally. This is ... (Read 88 times)

fasfsadfdsfa

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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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Answer to Question 1

b

Answer to Question 2

D




fasfsadfdsfa

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Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)


TheDev123

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Reply 3 on: Yesterday
Gracias!

 

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