Adverse selection arises in the health insurance market because ________
A) buyers have private information
B) sellers have private information
C) different firms provide different insurance schemes
D) the number of buyers and sellers is large
A
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An appreciation of one's currency means that:
a. the country's exports will become less expensive. b. the country's imports will become more expensive. c. the country's imports will become less expensive. d. it now requires more of this currency in exchange for one unit of another currency. e. it now requires less units of other currencies in exchange for one unit of this currency.
Perishable goods such as tomatoes and milk are never used as a form of money, primarily because they cannot function as:
a. a store of purchasing power. b. a means of payment. c. a standard of deferred payment. d. a medium of exchange. e. a unit of account.