This behavior is an example of Moral hazard
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Option A
<u>Explanation</u>:
Moral hazard is a behavior occurs when a person increases his/her exposure to risk when insured or have a financial assistance. In this situation ''person takes more risks" because someone else is there to bear cost of risks. In the above situation, Martha used to spend less before but when she got the scholarship she started spending more as having a financial security of scholarship. Other options - pecuniary externality, the paradox of thrif and the free-rider problem are incorrect as do not have any relevance with the case of Martha.
Answer: It means that she is good but as she grows she will get a lot more better.
Explanation: Intellectual ability refers to the skills required to think critically, see connections between disciplines and problem solve in new or changing situations. Memory, creative problem solving and vocabulary also contribute to the level of an individual's intellectual ability.
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