Compared to the Case in Which a Monopoly Insurer Offers

Multiple Choice

Compared to the case in which a monopoly insurer offers the consumer a contract,if insurance is competitively provided:

A) any moral hazard or adverse-selection problem is alleviated.
B) any moral hazard or adverse-selection problem is worsened.
C) the essence of any moral hazard or adverse-selection problem would not change much.
D) insurers would no longer offer menus of contracts.