An increase in the price level in the United States will reduce imports and increase exports

An example of moral hazard is

a. A taxi driver paid per mile taking the shortest route b. a piece-rate garment worker shirking less than a per hour worker c. an hourly salesman working harder than a commission salesman d. an author on contract going to as many book signings as one with a percentage royalty rate

Tampering with the price mechanism

a. can be efficient for a while. b. cannot be attempted in a market economy. c. can enhance societal welfare if done properly. d. often produces undesired side effects.