Why you buy insurance

I won’t call Bryan Caplan stupid:

By way of analogy, consider these two scenarios:

1. You lose $1000 in some unforeseen way.

2. You lose $1000 in a way your spouse specifically warned you might happen.

The man needs some voodoo flags.  In the meantime, here is a testimony to Bryan’s wisdom.  And scroll down Econolog to read the whole discussion.