The opportunity to engage in pooling shifts the _____ curve of insurance to the right;insurance companies will take on _____ risk and charge a _____ premium than without pooling.
A)supply;more;lower
B)demand;more;lower
C)supply;less;higher
D)demand;less;higher

Question

Quizplus · Accepted Answer

Pooling allows insurance companies to spread risk across a larger group, enabling them to take on more risk at a lower premium, which increases the supply of insurance.

The Opportunity to Engage in Pooling Shifts the _____ Curve