Adverse selection reduce

Insurance companies have developed several strategies to cope with the information difficulties that lead to moral hazard and adverse selection. They use deductibles and copayments to reduce moral hazard. If cusfomers musf pay some of fhe damage cosfs themselves when accidents occur, they are less likely to engage in unanticipated risky behavior. Some firms also use experience rafing (i.e., raising rates if a claim is made) to reduce moral hazard. Experience rating penalizes cautious clients who still suffer accidents, but insurance firms cannot economically differentiate those careful policyholders from morally hazardous ones. 

The stable free radicals in coal can adversely affect the 13C signal intensity. However, the quantitative reliability of the method can be greatly improved by prior treatment of coal with chemicals such as samarium(II) iodide (Stock et al., 1988) to selectively reduce the organic free radicals. Thus, this potential error that has influenced the quantitative aspects of the method can be reduced by the use of a novel pretreatment technique as well as an appropriate standard for measurement of chemical shifts. 

Production contracts do not only estabhsh selling and buying obligations but do also prescribe some details of the production process such as feed, breed or animal welfare aspects. Especially in markets with high information asymmetries, the contractor tries to control a munber of inputs in order to reduce the scope of moral hazard problems and adverse selection (Goodhue, 1999 617). 

Transaction Cost Economics (TCE) provides the most common theoretical framework for contracts and vertical integration in livestock production. Contracts may reduce moral hazard problems through centralized decisions about input factors (feed, genetic, etc.) and production standards. The problem of adverse selection in case of unobservable quality characteristics (credence attributes) is decreased by contract systems with inherent monitoring approaches. A long-term orientation could enhance the processors ability to introduce new technologies. 

Nonspecific immunosuppressive therapy in an adult patient is usually through cyclosporin (35), started intravenously at the time of transplantation, and given orally once feeding is tolerated. Typically, methylprednisone is started also at the time of transplantation, then reduced to a maintenance dose. A athioprine (31) may also be used in conjunction with the prednisone to achieve adequate immunosuppression. Whereas the objective of immunosuppression is to protect the transplant, general or excessive immunosuppression may lead to undesirable compHcations, eg, opportunistic infections and potential malignancies. These adverse effects could be avoided if selective immunosuppression could be achieved. Suspected rejection episodes are treated with intravenous corticosteroids. Steroid-resistant rejection may be treated with monoclonal antibodies (78,79) such as Muromonab-CD3, specific for the T3-receptor on human T-ceUs. Alternatively, antithymocyte globulin (ATG) may be used against both B- and T-ceUs. 

Aquatic organisms, such as fish and invertebrates, can excrete compounds via passive diffusion across membranes into the surrounding medium and so have a much reduced need for specialised pathways for steroid excretion. It may be that this lack of selective pressure, together with prey-predator co-evolution, has resulted in restricted biotransformation ability within these animals and their associated predators. The resultant limitations in metabolic and excretory competence makes it more likely that they will bioacciimiilate EDs, and hence they may be at greater risk of adverse effects following exposure to such chemicals. 

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