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Question : 4) Which of the following an example of moral hazard? A) : 1241099

Economics

 

4) Which of the following is an example of moral hazard?

A) I hire you to work in my garden for a fixed fee, and you work hard all day.

B) I hire you to work at an hourly rate and you work as slowly as possible.

C) You apply for the job only because I pay a fixed wage per day, no matter how much or little you do.

D) You agree to be paid by the weed to work in my garden, and then you work hard.

E) You agree to be paid by the weed to work in my garden, and then you don’t work hard.

5) The lemons problem is caused by

A) health-care providers’ incentive to order unnecessary tests.

B) used car buyers’ inability to determine the quantity of used cars offered for sale.

C) auto insurance companies inability to adequately screen drivers.

D) the missing health care market.

E) government regulations than make some information private.

 

6) In the used car market, adverse selection creates the lemon problem when

A) sellers cannot judge buyers’ creditworthiness.

B) buyers believe that sellers will offer only high-priced “good” used cars for sale.

C) buyers believe that sellers will sell only lemons.

D) sellers offer warranties on all used cars.

E) None of the above answers is correct because it is moral hazard that creates the lemon problem.

 

7) In the used car market, ________ is (are) a way of signaling.

A) high-deductibles

B) warranties

C) low interest rates

D) high prices for high-quality used cars

E) screening, using low prices for low quality used cars and high prices for high quality used cars,

8) ________ occurs when an informed person takes an action to send information to an uninformed person, and ________ occurs when an uninformed person creates an incentive for an informed person to reveal private information.

A) Moral hazard; adverse selection

B) Adverse selection; moral hazard

C) Signaling; screening

D) Screening; signaling

E) Pooling; separating

 

9) Private information

A) can create adverse selection but plays no role in creating moral hazard.

B) explains why drivers screen auto insurance companies.

C) means that unless it is overcome, the equilibrium in the market will be a separating equilibrium.

D) plays a role in the markets for health-care insurance and auto insurance.

E) cannot explain why the U.S. expenditures on health care per person exceed those in other major nations.

 

10) Even if your college degree is irrelevant to an employer’s needs, your high GPA might still get you the job because

A) the firm is not a profit maximizer.

B) your GPA screens some of your private information.

C) your GPA sends a signal about your quality as a worker.

D) the firm will most likely make an adverse selection.

E) the high GPA eliminates the possibility of moral hazard.

11) Which of the following can create inefficiency and deadweight loss?

A) Moral hazard can create inefficiency and deadweight loss but adverse selection cannot.

B) Adverse selection can create inefficiency and deadweight loss but moral hazard cannot.

C) Both moral hazard and adverse selection can create inefficiency and deadweight loss.

D) Neither moral hazard nor adverse selection can create inefficiency and deadweight loss.

E) None of the above answers is correct because whether inefficiency and deadweight loss are created depends on whether the moral hazard and adverse selection affect demanders or suppliers.

 

12) In the market for used cars, the lemons problem means that owners of ________ cars have no incentive to offer them for sale because the market price is ________ than their marginal benefit.

A) good; more

B) bad; more

C) bad; less

D) fair; more

E) good; less

 

13) In the market for automobile insurance, drivers can reveal that they are low risk by buying policies with ________ deductibles and ________ premiums.

A) high; low

B) low; high

C) high; high

D) low; low

E) zero; high

14) The private market ________ health care because it sometimes ________ those with pre-existing conditions and because health care has ________ benefits.

A) underprovides; includes; external

B) underprovides; excludes; external

C) overprovides; includes; external

D) overprovides; excludes; internal

E) underprovides; includes; internal

 

 

 

 

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July 1, 2023
    

Prior to beginning work on this assignment, review Chapters 1, 2, and 3 from the course text, read the article by Keller et al., (2012), 

Does the Perception That Stress Affects Health Matter? The Association With Health and Mortality
, and watch 

Seriously Stressed
. Many of you may be familiar with the classic tale of George Bailey (James Stewart) in It’s a Wonderful Life. George Bailey portrays a young man who encounters many major life events. Although he has ambitions to go to college and travel the world, the death of his father crushes his dreams. He decides to stay in his hometown to manage the family business, Bailey Building and Loan. Over the years, Henry F. Potter, George’s nemesis, tries to take over the family business as it struggles with financial difficulties. As time passes, George Bailey marries and has four children. George’s major stressor presents itself, and the way he perceives and reacts to this stressor, paves the way for the outcome of the movie. While George tries to run away from this stressor, the support of his family and friends help him through it.

To get a brief overview of the movie, watch 

It’s a Wonderful Life Trailer
 (2:11). Be sure to watch Frank Capra’s 1946 version of the film. Then search for the following clips that depict some of George’s stressful moments:

It's A Wonderful Life - Potter's Offer.mov - YouTube

View for the fight or flight response:



It’s a Wonderful Life Bank Run

Links to an external site.
 (4:00)

Character Study:

· Identify four of George’s stressors; these can be distressful or eustressful events.

· Support these examples of stress with the course text.

· Assess George’s physiological, social, and emotional reactions to these stressors in the movie.

· Provide two examples of George’s physiological reactions.

· Provide two examples of George’s social reactions.

· Provide two examples of George’s emotional reactions to his stressors.

· Use the course text as a minimum to support your response; the movie should be cited when it is being explained.

Throughout the movie, George encounters many stressors, but there are two major stress events that he must decide whether to “fight or flight.” The 
fight-or-flight response is a way the body reacts to stress. When faced with a stressor, the body prepares to fight it or run away from it. After watching the video clips above,

· Explain George’s fight-or-flight reaction in the bank run.

· Explain George’s fight-or-flight reaction from the following:

·

“You Realize What This Means? It’s Bankruptcy and Scandal and Prison!” - A Wonderful Life
Links to an external site.

·

Your* Worth More Dead Than Alive
Links to an external site.

·

“You Look About Like the Kinda Angel I’d Get”Links to an external site.

· Each clip is an example of the same reaction/situation to the stressor.

· Explain why you feel George reacted differently in each situation (also think of his perceptions to each stressor and cultural background)?

· Provide examples from the movie and support your analysis with at least one reference.

· Analyze the relationship between stress and health by identifying three illnesses George may be putting himself at risk for as a result of chronic stress.

· Use the course text and one additional scholarly reference to support your response.

4 double spaced pages

APA style

Two scholarly sources

default image
July 1, 2023
    

Prior to beginning work on this assignment, review Chapters 1, 2, and 3 from the course text, read the article by Keller et al., (2012), 

Does the Perception That Stress Affects Health Matter? The Association With Health and Mortality
, and watch 

Seriously Stressed
. Many of you may be familiar with the classic tale of George Bailey (James Stewart) in It’s a Wonderful Life. George Bailey portrays a young man who encounters many major life events. Although he has ambitions to go to college and travel the world, the death of his father crushes his dreams. He decides to stay in his hometown to manage the family business, Bailey Building and Loan. Over the years, Henry F. Potter, George’s nemesis, tries to take over the family business as it struggles with financial difficulties. As time passes, George Bailey marries and has four children. George’s major stressor presents itself, and the way he perceives and reacts to this stressor, paves the way for the outcome of the movie. While George tries to run away from this stressor, the support of his family and friends help him through it.

To get a brief overview of the movie, watch 

It’s a Wonderful Life Trailer
 (2:11). Be sure to watch Frank Capra’s 1946 version of the film. Then search for the following clips that depict some of George’s stressful moments:

It's A Wonderful Life - Potter's Offer.mov - YouTube

View for the fight or flight response:



It’s a Wonderful Life Bank Run

Links to an external site.
 (4:00)

Character Study:

· Identify four of George’s stressors; these can be distressful or eustressful events.

· Support these examples of stress with the course text.

· Assess George’s physiological, social, and emotional reactions to these stressors in the movie.

· Provide two examples of George’s physiological reactions.

· Provide two examples of George’s social reactions.

· Provide two examples of George’s emotional reactions to his stressors.

· Use the course text as a minimum to support your response; the movie should be cited when it is being explained.

Throughout the movie, George encounters many stressors, but there are two major stress events that he must decide whether to “fight or flight.” The 
fight-or-flight response is a way the body reacts to stress. When faced with a stressor, the body prepares to fight it or run away from it. After watching the video clips above,

· Explain George’s fight-or-flight reaction in the bank run.

· Explain George’s fight-or-flight reaction from the following:

·

“You Realize What This Means? It’s Bankruptcy and Scandal and Prison!” - A Wonderful Life
Links to an external site.

·

Your* Worth More Dead Than Alive
Links to an external site.

·

“You Look About Like the Kinda Angel I’d Get”Links to an external site.

· Each clip is an example of the same reaction/situation to the stressor.

· Explain why you feel George reacted differently in each situation (also think of his perceptions to each stressor and cultural background)?

· Provide examples from the movie and support your analysis with at least one reference.

· Analyze the relationship between stress and health by identifying three illnesses George may be putting himself at risk for as a result of chronic stress.

· Use the course text and one additional scholarly reference to support your response.

4 double spaced pages

APA style

Two scholarly sources

default image
July 1, 2023
    

Prior to beginning work on this assignment, review Chapters 1, 2, and 3 from the course text, read the article by Keller et al., (2012), 

Does the Perception That Stress Affects Health Matter? The Association With Health and Mortality
, and watch 

Seriously Stressed
. Many of you may be familiar with the classic tale of George Bailey (James Stewart) in It’s a Wonderful Life. George Bailey portrays a young man who encounters many major life events. Although he has ambitions to go to college and travel the world, the death of his father crushes his dreams. He decides to stay in his hometown to manage the family business, Bailey Building and Loan. Over the years, Henry F. Potter, George’s nemesis, tries to take over the family business as it struggles with financial difficulties. As time passes, George Bailey marries and has four children. George’s major stressor presents itself, and the way he perceives and reacts to this stressor, paves the way for the outcome of the movie. While George tries to run away from this stressor, the support of his family and friends help him through it.

To get a brief overview of the movie, watch 

It’s a Wonderful Life Trailer
 (2:11). Be sure to watch Frank Capra’s 1946 version of the film. Then search for the following clips that depict some of George’s stressful moments:

It's A Wonderful Life - Potter's Offer.mov - YouTube

View for the fight or flight response:



It’s a Wonderful Life Bank Run

Links to an external site.
 (4:00)

Character Study:

· Identify four of George’s stressors; these can be distressful or eustressful events.

· Support these examples of stress with the course text.

· Assess George’s physiological, social, and emotional reactions to these stressors in the movie.

· Provide two examples of George’s physiological reactions.

· Provide two examples of George’s social reactions.

· Provide two examples of George’s emotional reactions to his stressors.

· Use the course text as a minimum to support your response; the movie should be cited when it is being explained.

Throughout the movie, George encounters many stressors, but there are two major stress events that he must decide whether to “fight or flight.” The 
fight-or-flight response is a way the body reacts to stress. When faced with a stressor, the body prepares to fight it or run away from it. After watching the video clips above,

· Explain George’s fight-or-flight reaction in the bank run.

· Explain George’s fight-or-flight reaction from the following:

·

“You Realize What This Means? It’s Bankruptcy and Scandal and Prison!” - A Wonderful Life
Links to an external site.

·

Your* Worth More Dead Than Alive
Links to an external site.

·

“You Look About Like the Kinda Angel I’d Get”Links to an external site.

· Each clip is an example of the same reaction/situation to the stressor.

· Explain why you feel George reacted differently in each situation (also think of his perceptions to each stressor and cultural background)?

· Provide examples from the movie and support your analysis with at least one reference.

· Analyze the relationship between stress and health by identifying three illnesses George may be putting himself at risk for as a result of chronic stress.

· Use the course text and one additional scholarly reference to support your response.

4 double spaced pages

APA style

Two scholarly sources

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