The Pre-Existing Condition Insurance Plan Is a Federally Administered Part

question 15

Multiple Choice

The Pre-Existing Condition Insurance Plan is a federally administered part of the Affordable Care Act, and is designed for people with pre-existing medical conditions to obtain insurance.By offering health insurance to all U.S.citizens with pre-existing medical conditions, the Pre-Existing Condition Insurance Plan eliminates ________ for both the insurer and the insured, and eliminates ________ for the issuer of the insurance policy.

• A)the principal-agent problem; moral hazard
• B)asymmetric information; adverse selection
• C)adverse selection; the principal-agent problem
• D)moral hazard; adverse selection

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Definitions:

Social Structures

The complex framework of societal institutions (such as economies, governments, and social norms) and the hierarchical relationships and roles within this framework that organize a society.

Action Systems

Conceptual frameworks used in social sciences to analyze the structured processes through which individuals and groups engage with their environment.

Modernist

Pertaining to a cultural and artistic movement that embraces innovation and a break from traditional forms and structures.

Postmodernist Debate

A discourse questioning the foundations of modern thought, emphasizing subjectivity, relativity, and the fragmentation of cultural norms and structures.