Answer:
b. It refers to the actions people take after they have entered into a transaction that makes the other party to the transaction worse off.
Explanation:
Moral hazard -
It occurs when the person increases their exposure to risk in the case , when the other person bears the cost of the risks .
It can occur when the action of one of the party changes due to the detriment of the other after the financial transaction is done .
hence ,
The correct answer for Moral Hazard is ( b ) .
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C: depositing silt, which created rich soul for growing crops.
