Moral Hazard Is

question 33

Multiple Choice

Moral hazard is:

• A) when individuals make exchanges in the grey market.
• B) the tendency for people to behave in a riskier way when they're insured.
• C) when one party acts in a way that is ethically outside the norm in a market exchange.
• D) when both parties act in a way that is ethically outside the norm in a market exchange.

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Definitions:

First Amendment

A part of the United States Constitution that protects freedoms concerning religion, expression, assembly, and the right to petition.

Freedoms of Religion

The right to practice any religion of one's choice or to live without following any religion.

Peaceful Assembly

The right to hold public meetings and demonstrations without fear of disturbance or prohibition.

Majority Opinion

The judicial opinion agreed upon by more than half of the members of a court, setting forth the decision of the court and an explanation.