Skip to main content

Currently Skimming:

Appendix B Technical Discussion of the Responsibility for Insurance Is Irrelevant (RII) Proposition
Pages 79-82

The Chapter Skim interface presents what we've algorithmically identified as the most significant single chunk of text within every page in the chapter.
Select key terms on the right to highlight them within pages of the chapter.


From page 79...
... For now, leave aside risk aversion for the individuals, as well as concerns about aggregate risk for the community and the insurer. Posit actuarially fair insurance, which enables one to expect flood damages as a measure of loss.
From page 80...
... Now consider insurance provided by the federal government to the 2  There may be increasing returns over some range. For example, building half a dike may not reduce risks by much.
From page 81...
... The requirement for efficiency is that the community now has to take the residents' insurance costs into account. The residents themselves have to raise their m until the sum of m + k, what is now their total costs, is minimized.


This material may be derived from roughly machine-read images, and so is provided only to facilitate research.
More information on Chapter Skim is available.