kristianlukyan8001 kristianlukyan8001
  • 11-10-2017
  • Social Studies
contestada

When one party is better informed about an economic situation than another party, economists describe the problem as one of?

Respuesta :

SeoJoon15
SeoJoon15 SeoJoon15
  • 25-10-2017

In the given situation, the answer is moral hazard. A moral hazard happen when a party is involved in a situation in which the other party is likely be a result of what will happen in the outcome as there is a presence of incomplete information with both of the parties involved.

Answer Link

Otras preguntas

What is the main purpose of a thought bubble in a graphic novel? It displays authentic dialogue. It shows what the characters say. It gives background informati
Why is wood harder to use as fuel than oil?
PLEASE HELP ME SOLVE THIS WILL GIVE U BRAINIEST!!!!!!!!!!
The rectangular prism below has a total surface area of 198 in2. Use the net below to find the missing dimension, x.
In which area is composing for games different from composing for movies? A. looping scores B. royalties earned C, temp tracks D. adaptive scores
y+y+x; use x = 2, and y =1
Put the following in ascending order: 45%, 0.6, 1
Select all the equations on which the point (10,0) lies
why does king feel some pride and satisfaction when he is criticized as an extremist
Reasoning Kareem cannot decide which of two washing machines to buy. The selling price of each is $650. The first is marked down by 50%. The second is marked do