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He said regulators needed to deal with the problem known as moral hazard, in which large institutions are tempted to take on too much risk because their executives believe that governments will always bail them out.
In addition, the rescues themselves have implanted other risks — of fiscal crisis, of inflation and of endemic moral hazard, in which rescued institutions revert to reckless risk taking, secure in the knowledge that they will be bailed out if need be.
This creates the well-known "moral hazard," in which investors ignore risks in the belief that the government will come to their rescue when markets run amok.
Such a case is an example of moral hazard in which the insured party is the victim and the insurer is the "guilty" party.
Moral hazard, in which an agent engage in riskier behaviour because they know a principal protects them from the consequences, is explored by Shetty et al. [31].
Similar(55)
This paradigm considered disasters to be the result of natural hazards in which the population affected failed to adjust due to being unprepared or was unaware of the risk it was exposed to (Kates 1971).
Statistical significance was also retained in adjusted Cox proportional hazards model in which hazard of early cessation of EBF was 2.175 times more in urban compared to rural mothers (AHR: 2.175; 95% CI = 1.054-4.489; P = 0.036) (Table 3).> -wrap-foot> *Crude Hazard Ratio.
In this case, all predictor variables having a p value ≤0.10 in univariate analysis were entered into a Cox proportional hazard model in which the association indicator was the Hazard ratio (HR) and its 95 % CI was also obtained.
Under such a situation, Chinese seismologists have developed a new kind of methodology for seismic hazard quantification in which seismicity data are used instead of potential epicenter data to perform seismic hazard analysis and GDP data instead of building classification statistics to conduct seismic risk estimation.
First, in order to characterize this trade-off, we solve a dynamic moral hazard problem in which agents' private effort decisions influence the life-cycle profiles of their earnings.
In this group, the association of the overall survival (OS) and progression-free survival (PFS) with SUV, SURtc, and K slope was analyzed using univariate Cox proportional hazard regression in which the PET parameters were included as binarized parameters.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com