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.
Correct Answer:
Verified
Correct Answer:
Verified
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