Fee-for-service insurance
A. requires you pay for services before they are performed.
B. has more meddlesome bureaucrats than an HMO.
C. is typically more expensive than an HMO covering the same illnesses.
D. does not allow patients to pick their own doctor.
Answer: C
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Suppose the supply of textbooks is upward sloping and shifts leftward due to higher ink and paper costs. Which of the following events would leave the equilibrium price of textbooks at the same level observed before the supply shift?
A) Demand is perfectly elastic (horizontal). B) Demand is downward sloping and shifts leftward. C) all of the above D) none of the above
Even when people know the purchasing power of the currency is declining, they continue to use the currency because
A) they have no other choice. B) its value is holding better than any other asset. C) its value is still predictable. D) it still has some intrinsic value.
Which of the following could not serve as commodity money?
a. diamond b. gold c. paper d. fur e. silver
The Big Tradeoff
What will be an ideal response?