The Commonwealth of Virginia mandates that all drivers not only have automobile insurance but also carry additional insurance for uninsured drivers. The Commonwealth argues that some drivers will still not purchase insurance, and these uninsured motorists cost other drivers money through higher premiums. Which of the following can be used to support the Commonwealth's argument?

Multiple Choice

• Allocative efficiency
• Moral hazard
• Negative externalities
• Adverse selection
• None of the above