Answer
The option (A) is correct.
Work Step by Step
(A) because Moral Hazard is when someone engages in a behavior out of the normal knowing the possible outcome.
Principles of Microeconomics, 7th Edition
by Mankiw, N. Gregory
Published by
South-Western College
ISBN 10:
128516590X
ISBN 13:
978-1-28516-590-5
Chapter 22 - Part VII - Frontiers of Microeconomics - Quick Check Multiple Choice - Page 478: 2
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