What information might sellers of medical insurance have

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Reference no: EM131831398

1. Explain the difference between moral hazard and adverse selection. In general, which problem is more likely to arise prior to making a transaction, and which problem is more likely to arise after the transaction has been made?

2. Consider the market for medical insurance. What information might buyers in this market have that insurance companies don't have?

Here's a harder question: What information might sellers of medical insurance have that buyers don't have?

Reference no: EM131831398

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