Adverse Selection, Repeated Insurance Contracts and Announcement Strategy
Georges Dionne () and
Pierre Lasserre
The Review of Economic Studies, 1985, vol. 52, issue 4, 719-723
Abstract:
In this note, we present a strategy which relies on multi-period contracts and on a self-selection mechanism which induces the insured to announce his true risk in the first period, thus eliminating inefficiency due to adverse selection.
Date: 1985
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Working Paper: Adverse selection, repeated insurance contracts and announcement strategy (1985)
Working Paper: Adverse Selection, Repeated Insurance Contracts and Announcement Strategy (1984)
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Persistent link: https://EconPapers.repec.org/RePEc:oup:restud:v:52:y:1985:i:4:p:719-723.
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