Which of the Following Is a Means of Eliminating the Undesirable

question 4

Multiple Choice

Which of the following is a means of eliminating the undesirable effects of adverse selection?

• A) A long-term relationship
• B) Writing a contract to guarantee the quality
• C) Both a long-term relationship and writing a contract to guarantee the quality
• D) None of the preceding statements is correct.

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Definitions:

Awareness

The state of being conscious or informed about something.

External Stimuli

Environmental factors or influences that can elicit a physiological or psychological response from an individual.

Optimal

The best or most favorable condition, level, or amount of something for a particular situation or purpose.

Sleep

A natural and periodic state of rest during which consciousness of the world is suspended.