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Sam was worried because he had no insurance and so he decided to quit smoking. Then he was able to sign up for health care
Sam was worried because he had no insurance and so he decided to quit smoking. Then he was able to sign up for health
care through his new employer. Sam decided that since he had health insurance he might as well start smoking again. This
is an example of:
Adverse selection
Moral hazard
Risk sharing
A financial intermediary
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