Moral hazard would lead to

a. Only risky drivers buying insurance
b. More risky drivers buying more insurance
c. Drivers taking on a lot more risk after buying insurance
d. Drivers becoming a lot more careful after buying insurance

c

Economics

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The federal funds rate is ________ of the Fed

A) a technique B) a monetary policy rule C) the monetary policy instrument D) an objective E) a goal

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If a competitive firm faces a competitive labor market, it will hire labor until

A) w = p. B) w = MPL. C) w = MPL ? p. D) MPL = 0.

Economics