Complete the following table by determining which economic problem is characterized in each of the scenarios provided. Scenario Jake would like to buy a house, but he is not a handyman and thus cannot assess the quality of a house before owning it. Jake believes that owners of low-quality houses are more willing than owners of high-quality houses to sell their homes. Because of this, Jake believes that houses that are for sale are probably of low quality. When Felix didn't have car insurance, he drove very cautiously because he knew he would have to pay for any damage to his car. Now that he has car insurance, he tends to speed more because he knows that even if he gets into an accident, his insurance will cover it. Adverse Moral Hazard Selection