Adverse selection occurs when

A) a person takes more risks that are not known to the life insurance company because he has life insurance.
B) a person buys life insurance because he has a risky lifestyle that is not known to the life insurance company.
C) a person is a risk lover.
D) pregnant women with health insurance make more doctor visits than uninsured pregnant women.

B

Economics

You might also like to view...

Hummel is a line of figurines based on the artistic style of German nun Maria Innocentia Hummel and have become a collector's item. The Hummel figurines are almost uniformly "cute

" Lukas, Felix, Anya, and Hannah sell Hummel figurines through the internet. Their willingness to sell price for one figurine is: Lukas $240, Felix $180, Anya $150, Hannah $130. Suppose the price of a Hummel figurine is $150, who will sell their figurine? A) Anya and Hannah B) Lukas, Felix, and Anya C) Felix, Anya, and Hannah D) Hannah

Economics

When shirking at the workplace occurs, increased monitoring of workers is the only effective way to reduce this behavior

Indicate whether the statement is true or false

Economics