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neonofarm [45]
4 years ago
6

Individuals who pay less of their own health care costs may have an incentive to use health care resources more frequently and t

o engage in riskier behaviors.
The problem is known as:
A. asymmetric information.
B. adverse selection.
C. moral hazard.
D. market power.
Business
1 answer:
SSSSS [86.1K]4 years ago
3 0

Answer:

C. moral hazard.

Explanation:

Moral hazard -

It is the condition , where the person take more risk , as he or she is aware that someone else need to bear the risk , is known as moral hazard .

In this case , one of the party can change the damage of  other after any type of monetary transaction has occurred .

Hence , from the question ,

The statement given in the question , is about Moral hazard .

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