​An Example of Moral Hazard Is

question 17

Multiple Choice

​An example of moral hazard is

• A)​people drive less carefully in icy conditions with antilock brakes than without
• B)people drive as safely with more airbags as without
• C)football players avoid 'spearing' with their heads even with safer helmets
• D)​people read the medicine warnings as carefully when self-medicating as with a doctor's prescription

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Definitions:

Cognitive Impairment

A reduction in cognitive function compared to a person's previous level of performance, potentially affecting memory, decision-making, and attention.

Theory Of Mind

Awareness and understanding of mental processes.

Social Reciprocity

The mutual exchange of social behaviors, such as sharing and cooperation, between individuals.

Social Cognition

The ability to understand that others have mental states and to gauge their feelings and actions.