Reconstruction refers to the period of American history that followed the Civil War. During this time period, the country attempted to recover from the damage of the war. It also attempted to integrate former slaves into mainstream society.
Although Reconstruction was not a complete success, I consider that it was still an effective way to achieve long-lasting change. The Reconstruction allowed the rebuilding of the economy by integrating the former slaves into the labor force. It also forced employers or landowners to pay their black workers. Reconstruction helped the black population of the country enjoy the rights and freedoms that they were able to achieve.
Answer:
Moral Hazard
Explanation:
Moral hazard is a situation which involves two parties, one party gets involved in a risky event because he knows that it is protected against the risk and that the other party will bear the cost and consequences of his actions if there be any loss. It arises when both the parties have incomplete information about each other.
In the financial market, there is high risk that a borrower may do undesirable things and may not pay back if he knows that when he defaults, his guarantor might will pay. This can make him to act with reckless abandon and in a riskier way.
Because Hamon in the Question got insurance that is worth twice his restaurant, he became careless in the management of his restaurant because he believes that if there be any loss, insurance will pay. This is called Moral Hazard in Business.
The correct answer to your question is letter D. "Both A and C"
