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2 years ago

One way that the world bank might experience an adverse selection in its own lending is if __________.

1 answer:

6 0

Adverse selection describes situations when high-risk persons are more likely to receive insurance or when one bargaining side has important knowledge that the other does not. Our goal is to influence decision-makers, both inside and outside of government, to consider the future and adopt long-term plans.

When vendors and/or purchasers have different knowledge about a certain component of a product's quality, this is referred to as adverse selection. Thus, those who work in hazardous environments or lead high-risk lives are more likely to buy life or disability insurance, knowing that they will likely be able to use it.

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You might be interested in

Explain what the long- and short-term consequences are of not promoting equality or working to reduce poverty.

VARVARA [1.3K]

Answer:

The long and short-term consequences of not promoting equality or working to reduce poverty are:

1. the poverty gap widens, causing many more of the population to become poor while a few become richer.

2. extreme poverty becomes the norm, thereby hampering societal progress.

3. discrimination and social classes become oppressive.

Explanation:

Economic equality describes a situation that ensures that every individual in a society has an equal economic opportunity to make the most of their lives and talents by having some access to resources. Equality reduces discrimination among certain groups of the population, especially those with protected characteristics such as race, disability, sex, and sexual orientation. It ensures the fair distribution of natural resources among the population, according to their individual needs and capacity. It does not mean sameness in social or economic status.

3 0

3 years ago

Zouar Computer Corporation currently manufactures the disk drives that it uses in its computers. The costs to produce 5,000 of t

vovikov84 [41]

Answer:

Zouar Computer Corporation

a. $15,000 better to buy.

Explanation:

a) Data and Calculations:

Production capacity = 5,000

Cost per drive

Direct materials $12

Direct labor 2

Variable manufacturing overhead 5 $19

Fixed manufacturing overhead 7

Total $26

Avoidable costs:

Direct materials $12

Direct labor 2

Variable manufacturing overhead 5

Fixed manufacturing overhead 3

Avoidable opportunity cost 8 ($40,000/5,000)

Total avoidable costs $30

It will be financially better off buying the drives:

Make Buy Difference

Total avoidable costs $150,000 $135,000 $15,000 ($150,000 - $135,000)

3 0

3 years ago

Who makes more money uber drivers or lyft drivers?

mel-nik [20]

Uber mostly because there are a lot more people using uber then lyft but both jobs are good for money.

6 0

3 years ago

Read 2 more answers

Define four functions of managenet

drek231 [11]

Answer:

The answer is below

Explanation:

The Four functions of management are:

1. Planning: this is the process of setting out a plan by the management team that involves the goals and the template or means to achieve those goals.

2. Organizing: this is a process of organizing the resources; both human and material resources, that are deemed essential to the realization of the set out plans or goals.

3. Leading: this is a process of ensuring all the team members work together to achieve the main goals or set out plans.

4. Controlling: this is a process that involves constant checking, evaluation, and monitoring activities to ensure the ongoing performance meets the actual plans and will eventually yield to the goal.

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3 years ago

limited government licenses that create a monopoly do so because part 2 a. the license grants a marginal cost advantage. b. the

sammy [17]

Limited government licenses that create a monopoly do so because the license is an entry barrier.

Hence, option C is correct.

What do you mean by monopoly in economics?

Monopoly can be defined as a situation where there is a dominance of a single seller in the market. It is opposite to the concept of perfect competition. An unregulated monopoly possesses market power and can influence prices in the overall sector.

The main features revolves around

Only One Seller and Various Buyers.
No Produce Replacement Option
Very Difficult to Enter in Market.
Pricing Control.
Government Driven.
Natural Monopoly.

There are usually three types of monopoly

Natural Monopolies.
State Monopolies.
Un-natural Monopolies.

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3 0

1 year ago