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UIC is considering banning the assignment of D or F grade. The university management argues that this will improve the performance of students because they
UIC is considering banning the assignment of D or F grade. The university management argues that this will improve the performance of students because they will no longer have the pressure of potentially unking out. In addition, they think all students will make As and Bs after the implementation of the policy. From the perspective of moral hazard is this a good policy if the goal is to ensure all students make As and Bs? Explain
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