Which of the Following Is an Example of Moral Hazard

question 44

Multiple Choice

Which of the following is an example of moral hazard?

• A) After Guiseppe buys fire insurance, he begins to smoke cigarettes in bed.
• B) None of these answers demonstrate moral hazard.
• C) Martin has been feeling poorly lately so he seeks health insurance.
• D) Both of Suzanne's parents lost their teeth due to gum disease, so Suzanne buys dental insurance.
• E) All of these answers demonstrate moral hazard.

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Definitions:

Evolutionary Psychologists

Professionals who study how evolutionary principles help explain the structure and function of the human mind.

Evolutionary Mechanisms

Describes the processes by which organisms change over time through adaptation, natural selection, and genetic variation.

Natural Selection

The process whereby organisms better adapted to their environment tend to survive and produce more offspring.

Genetic Variations

Differences in DNA sequences among individuals, which contribute to the diversity of traits and characteristics within a population.