In the 1973 movie Save the Tiger,Jack Lemmon plays Harry Stoner,the CEO of a clothing manufacturer whose business has fallen on hard times.In one of the key scenes of the movie,Stoner tries to convince his partner that they should hire someone to burn one of their buildings in order to collect on their insurance policy.Harry Stoner's actions are an example of

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Harry Stoner's attempt to collect insurance money by burning one of their buildings is a classic case of moral hazard. Moral hazard refers to the tendency of individuals or companies to take risks that they would not otherwise take because they are protected against the negative consequences of those risks. In this case, Harry Stoner is willing to take the risk of burning down one of their buildings because he knows that the insurance money will protect him and his company from suffering any significant financial losses. This type of behavior is known as moral hazard, and it is often a problem in insurance markets where individuals or companies are protected against the negative consequences of their actions.

In the 1973 Movie Save the Tiger,Jack Lemmon Plays Harry