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Question #47294

Which of the following best demonstrates the problem of moral hazard ?

Options:

A) Josephine doesn’t buy health insurance because it is too expensive, and she is healthy

B) A life insurance company forces Enzo to have a medical examination prior to selling him insurance

C) Enzo drives more recklessly after he buys car insurance

D) Fatima chooses to attend a well-respected college

Answer: Which of the following best demonstrates the problem of moral hazard Enzo drives more recklessly after he buys car insurance.

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