Ashley opened an all-you-can-eat buffet restaurant. The price per-person was based on what Ashley believed an average restaurant patron would consume. The restaurant began to lose money
Ashley concluded that her patrons had "above average" appetites, and were attracted to her restaurant because they could eat as much as they wanted while being charged an average price. A similar phenomenon exists in insurance markets. This problem is called
A) legal hazard.
B) adverse selection.
C) attitudinal hazard.
D) nondiversifiable risk.
Answer: B
Business
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Kimberly decides to alter its distribution strategy so that its jewelry is accessible to the public only through one distributor. The strategy they're considering is known as ________ distribution
A) elusive B) extensive C) exclusive D) selective E) elective
Business
Eliminate ________________ in and after most abbreviations
a. capital letters b. spacing c. periods d. all punctuation
Business