Most people buy insurance because they
a. are risk lovers
b. enjoy the gamble
c. are...
Most people buy insurance because they
a. are risk lovers
b. enjoy the gamble
c. are risk neutral
d. are risk averse
Solutions
Expert Solution
Option d is the answer
Most people buy insurance because they are risk averse.
People always like to lead a safe and healthy life. Thus people
show reluctance to take risks; ie, risk averse. Such that they will
prefer insurances to avoid the risks of not being insured. In most
of the cases, insurance will provide compensations for the
encountered loss.
If only risk-adverse people will buy health insurance, why do
somany people who buy health insurance also buy lottery tickets.
SPeculate similarities and differences.
insurance is possible and can be profitable because of
a-private information
b-adverse selection
c-consumers are risk aversion
d- moral hazard
e-all of the above
Insurance.
a. Name the primary reason why people buy insurance.
b. Draw a graph of the conventional model of demand for
insurance where utility is a function on income.
c. What does the graph illustrate in terms of consumers
attitudes toward income gains and losses?
Many people select nursing as a career because they enjoy
“taking care of” other people. Orem's conceptual model of nursing
focuses on individuals with limited abilities to provide continuing
self-care or care of dependent others. Describe the difference
between “taking care of people” as a general term and professional
nursing practice directed toward helping people meet their own and
their dependent others’ therapeutic self-care demands.
Terrorists enjoy a favorable ____________________________
because large numbers of people, resources and money are required
to combat them, whereas the terrorists themselves need use only
small amounts of resources in their attacks.
Force ratio
Resource utilization rate
Bottom line
Cost/benefit analysis
Insurance is possible and can be profitable because of
A- private informatiom
B- adverse selection'
C- consequence are risk aversion
D- moral hazards
E- All of the above
Catastrophic medical expenses are large, infrequent and
unpredictable. Risk aversion explains why people buy insurance
which covers such catastrophic events.( true or false) The primary
funding source for the expenses of current Medicare beneficiaries
is the fund current beneficiaries contributed to throughout their
lifetime. True False