Sam decides to join the Gigantic State University's rugby team when he learns that his health insurance will pay for any subsequent injury. This illustrates:
A. the diagnosis-related-group system.
B. a "pay or play" system.
C. the moral hazard problem.
D. the Coase theorem.
Answer: C
Economics
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Graphically, the average productivity of labor would be illustrated by the slope of the marginal productivity curve at the relevant point
a. the slope of the total product curve at the relevant point. b. c. the negative of the slope of the marginal productivity curve at the relevant point. d. the slope of the chord connecting the origin with the relevant point on the total output curve.
Economics
A firm that owns and controls operations in more than one country is a(n)
A. monopolist. B. cross-border business alliance. C. franchise. D. MNE.
Economics