Explain why a risk averse individual will purchase full insure if a policy is actuarially fair,but only partially insure or not insure at all,if it is not.Use graphs to support your answer.
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Q42: If an insurance policy is actuarially fair,then:
A)
Q43: If two investments are perfectly positively correlated:
A)
Q44: $500 and there are two companies he
Q45: An insurance premium is:
A) the contract that
Q46: Two variables are uncorrelated if:
A) they move
Q48: If two investments are perfectly negatively correlated:
A)
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Q50: Two variables are positively correlated if:
A) they
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Q52: What would be the actuarially fair premium
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