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Which of the Following Is an Example of Moral Hazard

question 4

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Which of the following is an example of moral hazard?


Definitions:

Social Loafing

The tendency for individuals to expend less effort on a task when working in a group compared to when working alone.

Group Polarization

The tendency for a group to make decisions that are more extreme than the initial inclination of its members.

Diffusion Of Responsibility

A sociopsychological phenomenon whereby a person is less likely to take responsibility for action or inaction when others are present, often used to explain the bystander effect.

Social Loafing

The phenomenon whereby individuals exert less effort to achieve a goal when they work in a group than when they work alone.

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