Lindsey's auto-insurance company issued her a policy that required the installation of a devise that monitors her driving habits. Lindsey is confused because she had never gotten into an accident before she bought the insurance. The insurance company is protecting itself against
a. Adverse selection
b. Moral hazard
c. Bad drivers
d. None of the above
b
Economics
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Which bond would someone in a 35% tax bracket choose to buy: a municipal bond with an interest rate of 7% or a corporate bond with an interest rate of 10%?
What will be an ideal response?
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Monetarists argue that stability in the economy is maintained by fluctuations in
A) velocity. B) money demand. C) money supply. D) the price level.
Economics