Defective Electrical Wiring That May Lead to a Fire Is

question 60

Multiple Choice

Defective electrical wiring that may lead to a fire is an example of a:

• A)named peril
• B)morale hazard
• C)speculative risk
• D)physical hazard

---

Definitions:

Coase Theorem

A principle stating that, in the presence of clear property rights and negligible transaction costs, parties can negotiate to correct externalities and allocate resources efficiently.

Efficient Outcome

A situation in which resources are allocated in the most effective manner, maximizing total benefit and minimizing waste.

Efficient Outcome

An economic situation in which every resource is optimally allocated to serve each individual or entity in the best way while minimizing waste and inefficiency.

Peace and Quiet

signifies a state of tranquility and serenity, often desired by individuals seeking relief from stress or chaos.