The Internet, blogs, Twitter, and YouTube speed up the time it takes for a perceived crisis to become an actual crisis

Which of the flowing statements about adverse selection and underwriting provisions is incorrect?

a. Adverse selection means that those individuals with greater risk are more likely to purchase insurance. b. Adverse selection occurs because of asymmetric information. c. Insurers minimize adverse selection by using underwriting provisions. d. Health insurers typically include pre-existing condition clauses. e. Health insurers have unlimited power to set underwriting provisions.

Which of the following is an external factor that affects the choice of international entry mode for a company?

A) industry growth rate B) long-term strategy C) costs of making or enforcing contracts with local partners D) intent to conduct research and development with local partners