Moral hazard and adverse selection are both terms used in economics, risk management, and insurance to describe situations where one party is at a disadvantage to another. Moral hazard occurs when ...

Using a regression discontinuity approach, we uncover three findings: (1) Higher benefit levels distort employment more than benefit extensions. (2) Benefit durations and levels interact: Longer ...

Carry-on luggage is causing big headaches for travelers, gate agents, and flight attendants. It also helps airlines rake in ...

Although it has been argued that IMF financing may create moral hazard, it is not easy to find clear evidence of such an effect. If the extent of IMF-induced moral hazard were known, any costs would ...

I will be the first to concede that this "moral hazard" theory of IMF lending is clever, having spent many years in the 1980s studying it and writing papers about it (including a 1988 piece with ...

Climate change isn’t just shifting global temperatures: It’s altering the fabric of our morals, including our understanding of right and wrong. In this four-part culture series, Grist explores ...