This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: What is moral hazard? What will be an ideal response?[br][br][b][color=#165FFA]Question ... (Read 47 times)

Haya94

  • Hero Member
  • *****
  • Posts: 558
on: Jun 29, 2018
What is moral hazard?
 
  What will be an ideal response?

Question 2

Will the use of the euro help increase economic growth in countries in the European Union? Will it help individual countries using the euro in times of recession? Explain.
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Ddddd

  • Sr. Member
  • ****
  • Posts: 334
Reply #1 on: Jun 29, 2018
Answer to Question 1

Moral hazard arises when one party to a contract passes the cost of his or her behavior on to the other party of the contract.

Answer to Question 2

While a common currency makes it easier for buyers and sellers to exchange goods and services across borders, a fixed exchange rate across countries in the European Union prohibits those countries from conducting independent monetary policies. If one country experiences recession, for example, fixed exchange rates will keep that country's currency value from falling, thereby exacerbating the recession. As a result, whether the euro will help to expand opportunities for economic growth will depend on which of these two effects is more significant.


Haya94

  • Member
  • Posts: 558
Reply 2 on: Jun 29, 2018
Excellent

blakcmamba

  • Member
  • Posts: 335
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

It is believed that the Incas used anesthesia. Evidence supports the theory that shamans chewed cocoa leaves and drilled holes into the heads of patients (letting evil spirits escape), spitting into the wounds they made. The mixture of cocaine, saliva, and resin numbed the site enough to allow hours of drilling.

Did you know?

Throughout history, plants containing cardiac steroids have been used as heart drugs and as poisons (e.g., in arrows used in combat), emetics, and diuretics.

Did you know?

A serious new warning has been established for pregnant women against taking ACE inhibitors during pregnancy. In the study, the risk of major birth defects in children whose mothers took ACE inhibitors during the first trimester was nearly three times higher than in children whose mothers didn't take ACE inhibitors. Physicians can prescribe alternative medications for pregnant women who have symptoms of high blood pressure.

Did you know?

Stevens-Johnson syndrome and Toxic Epidermal Necrolysis syndrome are life-threatening reactions that can result in death. Complications include permanent blindness, dry-eye syndrome, lung damage, photophobia, asthma, chronic obstructive pulmonary disease, permanent loss of nail beds, scarring of mucous membranes, arthritis, and chronic fatigue syndrome. Many patients' pores scar shut, causing them to retain heat.

Did you know?

Long-term mental and physical effects from substance abuse include: paranoia, psychosis, immune deficiencies, and organ damage.

Question Question
How to choose the right payment plan with changing conditions (Question 4) How to choose the right payment plan with changing conditions (Question 4)
How to integrate trigonometric functions containing both tangent and secant (Question 1) How to integrate trigonometric functions containing both tangent and secant (Question 1)
Immune Response to a Food Allergen Immune Response to a Food Allergen
What is the phenotype for the female and male..This question is locked What is the phenotype for the female and male..This question is locked
Find the derivative by using the chain rule, question 2 Find the derivative by using the chain rule, question 2
Video: Generalized life cycles for plants and animals Animation

For a complete list of videos, visit our video library