1.3.5.5a - moral hazard can occur

How moral hazard can occur.

Use a - moral hazard can occur to connect the rule to the data and decision in the question.

This matters because a - moral hazard can occur determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply a - moral hazard can occur to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: a - moral hazard can occur is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.