And it came to pass, that as I read the Wall Street Journal, mine eyes stumbled upon an article entitled “Worry Grows Over Insurers As Ratings Slip”. As I pondered these things in my mind and in my heart, I came to understand better the things of which were said in the teachings of Kearl (thusly, the book of Kearl).
He spoke a great many things about adverse-selection and moral hazard in the place which is called “risk market”. As the fruits of our generation grow sour like unto those of a grafted fig tree, the inhabitants thereof partake of the blessings of their insurance agencies. As they more intensely use the blessings and benefits (moral hazard) of this, their mortal insurers, the more strain becomes these benefactors. Clearly, because the blessings of said benefactors cannot wholly grant remission of their foolishness (their foolishness not distinct of the man who built his house upon the sand), this generation of fools will not be able to obtain the highest degree of economic stability. Also, as the people of the land of the United States are divided into foolish and wise, we can obtain vision that when a set premium is required of them and the administrators of blessings cannot return single fold that which was expected, “people will get a much-smaller benefit” (adverse-selection) - This resulting in the same consequence of prohibition of the highest degree of economic stability.
Not only has this generation decided to partake of the vain blessings of their mortal insurers, these insurers have been dragged down to the depths of misery and endless woe on accounts of investments into mortgage-backed securities, which were “hammered in the housing meltdown.” Though many of these insurance agencies have left the temporal world, they have left behind wills granting their partakers access to those agencies which are strong and will live on in this world.
No comments:
Post a Comment