What is moral hazard?

a. it refers to the actions people take before they enter into a transaction so as to mislead the other party to the transaction.
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.
c. it refers to the private, self-interested actions that people pursue, which when taken collectively leads to a loss in economic surplus.
d. it refers to the situation in which one party to a transaction takes advantage of knowing more than the other party to the transaction.

An artist entered into a written agreement to sell a patron a partially finished painting once it was complete. the patron later learned that the artist planned to sell the painting to a third party who offered to pay the artist more than the contract price. the patron filed suit to compel the artist to sell the painting to her in accord with the terms of their agreement, while the artist denied that the painting the artist planned to sell to the third party was the subject of the agreement with the patron. at trial, the patron did not introduce the written agreement or explain its absence. rather, the patron sought to testify that, when she signed the agreement, the artist had pointed to the painting in question and stated that it was the patron’s painting. the artist’s attorney objected to the testimony that the artist identified the painting as belonging to the patron. how should the court rule? asustain the objection, because the artist’s statement was hearsay. bsustain the objection, because the patron failed to produce the written agreement or explain its absence. coverrule the objection, because the statement is not hearsay. doverrule the objection, because the statement was relevant.

Which of the following is not among the root causes of poverty in the united states? size of family disabilities advanced degrees underemployment

Many of the mauryan empire’s huge pillars originally were transported from quarries in india. a. central b. eastern c. southern d. western