If unemployment insurance causes someone to wait longer before looking for work, this would be called

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Quizplus · Accepted Answer

Moral hazard refers to the idea that insurance can cause individuals to take on more risk or behave in a way that they wouldn't otherwise because they feel protected by the insurance. In the case of unemployment insurance, individuals may delay their job search because they know they have a source of income while they are unemployed.

If Unemployment Insurance Causes Someone to Wait Longer Before Looking