Nudge Chapter 12 Flashcards
1
Q
What is deductible aversion?
A
In the context of the book, it means choosing the lowest deductible
2
Q
Why should you purchase warranties?
A
To ensure that any risks are covered and you pay as very little as possible from your own pocket in case something happens.
3
Q
What is the principle of dominance?
A
If something is better than another by a dimension
4
Q
What is a health savings account?
A
An account where you set up and use for health care costs and can sometimes roll over to retirement savings if not used
5
Q
What is the problem with high co pays on medications?
A
People are more likely to cut back on high end medication that is needed.
