Upon buying a car with airbags indy begins to drive recklessly. this is an example of the

Upon buying a car with airbags Indy begins to drive recklessly. This is an example of moral hazard problem.

Explanation:

A moral hazard problem occurs when an individual or party in a contract decides to take risk due to the assurance that the consequences of such kind of a risk shall not affect them.In the above context, Indy takes the risk of driving recklessly which might result to a road accident. However, she does this intentionally since she knows her life is covered and might be rescued by the air bag in case of an accident.

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question 1

the reasons for the global discontent in the early 1900s were the following:

desire for independence   was the main fight of many territories which were still under the control of colonial powers. dissatisfaction with peace terms of wwi . the best example is the case of germany, that was forced by the peace treaties to pay very expensive war reparations to the winners of wwi. some time later, german leaders broke relations and stopped recognizing the authority of those who imposed sanctions on their country, counting with the support of the population that was suffering the important economic consequences of the payment of reparations. overproduction of consumer goods which led to hyperinflation scenarios and very week currencies and economies.

question 2

the reasons for the great depression were the following, and these led to wall street crash in october 1929 and caused the subsequent great recession period.

high personal debt, that ended up with many bankrupt investors. falling stock price as everybody was getting rid of the stocks, many because they could not meet the amounts of money required by the margins that backed their investments.

question 3

italy: led by the fascists and benito mussolini   and promised to restore the greatness of the roman empire. germany: led by adolph hitler and the nazi party and conducted anti-jewish riots in austriajapan: was controlled by aggressive military leaders and invaded countries for their resources

2.