The federal government and insurance companies are examples of third party
A. users of health care.
B. providers of health care.
C. observers of health care.
D. payers for health care.
Answer: D
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Originally, the threshold income level used to determine official poverty statistics was based on
A) a per capita income of $3000 in 1955 prices. B) the lowest income of the second quartile of families in the country. C) an income three times greater than necessary to purchase a nutritionally adequate diet. D) figures developed by a committee in the American Economic Association.
Suppose you have an option that gives you a lifetime income of $75,000 or a graduated income that begins at $30,000 and ends at $120,000 with the exact same present value. Which of the following would be true?
A. The second choice is generally preferred because the steadily improving income brings some pleasure. B. Based on purely rational choice assumptions you should prefer the first choice. C. There is no reason to believe either choice is preferred so you would be indifferent between the two options. D. The first choice is preferred because no one likes low income years.
Total revenue divided by output = ___________.
Fill in the blank(s) with the appropriate word(s).
A politician says that the government should tax behavior they want less of and subsidize behavior they want more of. This is an example of
A. cynical behavior in modern democracies. B. a concern that people are not rational when they make decisions. C. failing to consider the alternatives available to the government. D. using incentives to alter behavior.