Insurance companies:
A. profit from the difference between the premiums paid and the expected value of clients' payouts.
B. only profit by selling to risk neutral clients.
C. must charge less than the expected value of payout, otherwise they would go out of business.
D. All of these statements are true.
A. profit from the difference between the premiums paid and the expected value of clients' payouts.
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Suppose you have worked at a local sandwich shop for six months and now you plan to ask your manager for a raise. How can you convince your manager that you are worth more money than you are currently being paid?
A) by convincing him that you are a dedicated worker and ready to take on more responsibilities at the shop B) by explaining to him how difficult it is for you to save enough money to go to college C) by demonstrating to your manager the marginal revenue product your employment contributes to the sandwich shop D) by threatening to quit if he refuses to give you a raise
If the United States buys inputs from France and the dollar appreciates relative to the euro, then Americans will have to pay ________________ for foreign inputs, and the U.S. SRAS curve will shift __________________
A) less; rightward B) less; leftward C) more; rightward D) more; leftward