Adverse Selection, Repeated Insurance Contracts and Annoucement Strategy
Review of Economic Studies
1985
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.
- DOI
- 10.2307/2297743
- Volume
- 52 (4)
- Pages
- 719
- Export
- BibTeX
- Sources
- openalex crossref