QUESTION 1 If a health economist is worried that a system of health insurance wi

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QUESTION 1 If a health economist is worried that a system of health insurance will break down because, when combined with policies outlawing the use of an individual's health information in setting coverage and rates, the sickest will be the only one who will want insurance and the healthiest will go without insurance, that economist is focused on the problem of moral hazard adverse selection. mandation. lack of universal coverag QUESTION 2 In 2011 the percentage of people who were not covered by health insurance for the entire year was 0 12% 16% 25% 55%

Explanation / Answer

Answer 1= Moral hazard.

It is a problem where both the parties have incomplete information about one another.

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