04 Jun Question WEEK 5 “Public Goods and Moral Hazard” Please respond to the following:
Question
WEEK 5
“Public Goods and Moral Hazard” Please respond to the following:
Identify a product that you have consumed in the past couple of months and explain what makes the product a public good, based on the characteristics of a public good as defined in this week’s textbook readings.
In 2020, a leading insurance company started a policy that pays policyholders a 5 percent rebate on their insurance premium in a year in which the policyholders do not file an insurance claim. For example, a household with an annual premium of $1,200 will get a $60 rebate check each year it does not file a claim. Identify what problem(s) the insurance company is trying to solve by introducing this policy.
WEEK 6
“The Labor Market and Minimum Wage and GDP and GNP” Please respond to the following:
Review the e-Activities, examine two (2) arguments one for and one against raising the minimum wage, and discuss your findings.
In view of the weak economy of the last several years, explain which of the four components of GDP had, or is having, the greatest positive impact in our economy. Use your results from the second e-Activity to support your response.
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