Which of the following is not an example of a process designed to combat moral hazard problems? Group of answer choices Banks include restrictive covenants in loan agreements. Universities have students complete evaluations of professor performance at the end of a class. Insurance companies require applicants to provide medical history information as part of the application process Employers regularly monitor employee performance. All of them are examples of activities to prevent moral hazard.
Which of the following is not an example of a process designed to combat moral hazard problems? Group of answer choices Banks include restrictive covenants in loan agreements. Universities have students complete evaluations of professor performance at the end of a class. Insurance companies require applicants to provide medical history information as part of the application process Employers regularly monitor employee performance. All of them are examples of activities to prevent moral hazard.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Which of the following is not an example of a process designed to combat moral hazard problems?
Group of answer choices
Banks include restrictive covenants in loan agreements.
Universities have students complete evaluations of professor performance at the end of a class.
Insurance companies require applicants to provide medical history information as part of the application process
Employers regularly monitor employee performance.
All of them are examples of activities to prevent moral hazard.
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