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Which of the Following Occurs When Party a Would Like

Question 205

Multiple Choice

Which of the following occurs when party A would like to change his behavior if party B would change hers, and vice versa, and yet the two changes do not take place because the decisions of A and B are made independently?


A) Moral hazard 
B) Coordination failure 
C) Leakage 
D) Lemon problem

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