Question: At this price, drivers with $ 4 8 , 0 0 0 . 0 0 in the bank likely buy insurance, and those with $

At this price, drivers with $48,000.00 in the bank likelybuy insurance, and those with $1,600.00 in the bank likelybuy insurance. (Hint: For each type of driver, compare the price of insurance to the expected cost without insurance.)
Suppose a state law has been passed forcing all individuals to purchase insurance at the actuarially fair price.
True or False: The law will affect the behavior of both types of drivers.

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