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  3. Study Set
    Foundations of Macroeconomics
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    Exam 12: Markets with Private Information
  5. Question
    Because Don Has Health Insurance,he Is More Likely to See
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Because Don Has Health Insurance,he Is More Likely to See

Question 29

Question 29

Multiple Choice

Because Don has health insurance,he is more likely to see the doctor when he has a cold.This is an example of


A) adverse selection.
B) moral hazard.
C) the lemons problem.
D) both moral hazard and adverse selection.
E) private information.

Correct Answer:

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