In-kind transfers are politically popular because
a. they provide high quality food and shelter.
b. they provide cash.
c. allow resale of food stamps for cash, if needed.
d. the public believes that the aid is not going to support alcohol and drug addiction.
d
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As a result of moral hazard
A) both physicians and hospitals order more procedures. B) physicians and hospital administrators have no incentive to raise costs. C) patients increasingly have to worry about the expense of operations and other medical procedures. D) both physicians and hospitals have a financial interest in trying to keep hospital costs down.
A federal budget deficit can simultaneously reduce inflation and unemployment
a. True b. False Indicate whether the statement is true or false
Which of the following would be an external cost associated with the manufacture of cigarettes?
a. Price of a pack of cigarettes. b. Price of leaf tobacco. c. Cost to the government of the hospital expenses of indigent smokers. d. Cost to the employer of the higher health insurance premiums due to the hiring of a smoker. e. Cost to the employer of the extra effort lost due to the increased missed days of work as a result of smoking.
If funds are being loaned from one commercial bank's excess reserves on deposit with the Federal Reserve to another commercial bank's deposit account at the Fed, the transaction is taking place in:
a. the discount market. b. the currency exchange market. c. the federal funds market. d. the open market. e. the reserves market