1. Compare the insurance contract offered to the robust in the asymmetric information separating equilibrium with the one offered in a symmetric information setup. Do you see differences in what is offered? Why? Only text, no graphs.
2. A stock has had returns of 17.52 percent, 12.36 percent, 6.36 percent, 27.82 percent, and −13.89 percent over the past five years, respectively. What was the holding period return for the stock? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Holding-period return %