EAN: 9780300274042

RISKY BUSINESS - LIRAN EINAV AMY FINKELSTEIN RA...

An engaging and accessible examination of what ails insurance markets--and what to do about
it--by three leading economists "The authors . . . do a masterful job of explaining the
intractable complexities created by this socially vital activity."--Martin Wolf  Financial
Times   "Best Books of 2022: Economics" Why is dental insurance so crummy? Why is pet insurance
so expensive? Why does your auto insurer ask for your credit score? The answer to these
questions lies in understanding how insurance works. Unlike the market for other goods and
services--for instance  a grocer who doesn't care who buys the store's broccoli or
carrots--insurance providers are more careful in choosing their customers  because some are
more expensive than others. Unraveling the mysteries of insurance markets  Liran Einav  Amy
Finkelstein  and Ray Fisman explore such issues as why insurers want to know so much about us
and whether we should let them obtain this information  why insurance entrepreneurs often fail
(and some tricks that may help them succeed)  and whether we'd be better off with
government-mandated health insurance instead of letting businesses  customers  and markets
decide who gets coverage and at what price. With insurance at the center of divisive debates
about privacy  equity  and the appropriate role of government  this book offers clear
explanations for some of the critical business and policy issues you've often wondered about 
as well as for others you haven't yet considered.

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