Why might it make sense for the same risk-averse person to both eliminate risk by purchasing insurance

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Why might it make sense for the same risk-averse person to both eliminate risk by purchasing insurance and take on new risk by investing in the stock market?

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Microeconomics

ISBN: 978-1118572276

5th edition

Authors: David Besanko, Ronald Braeutigam

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Question Posted: Mar 18, 2016 04:50 AM

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Why might it make sense for the same risk-averse person to both eliminate risk by purchasing insurance

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A riskaverse person may invest in the stock market if ...View the full answer

Microeconomics

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