131k views
5 votes
If individuals and companies believe they can pursue rewards without facing the risks that should be attached to those pursuits, they are more likely to engage in irresponsible and even unethical behavior. this situation is known as a(n) ________.

User ShaneA
by
6.1k points

1 Answer

2 votes
The answer to this question is "Moral Hazard". Hence If an individual and companies believe they can pursue rewards without facing the risks that should be attached to those pursuits, they are more likely to engage in irresponsible and even unethical behavior. this situation is known as a MORAL HAZARD. This is a belief of a company that they can pursue rewards without facing a problem or any issue.
User Jake Edwards
by
6.5k points