What is the most likely reason that snack foods sold in vending machines are so much more expensive than snack foods sold in grocery stores?
A. Snack foods sold in vending machines come in smaller packages, so the per-package costs are higher.
B. Grocery stores buy in bulk, while vending machine companies tend to buy in smaller quantities.
C. People who purchase snack foods from vending machines tend to have less elastic demand for snack foods.
D. Owners of vending machine companies are greedier than owners of grocery stores.
Answer: C
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When firms participate in group health insurance for all employees, it
A) raises rates for everyone, because it brings unhealthy people into the pool. B) raises rates for unhealthy people. C) may lower rates for all people to the extent that it keeps healthy people in the pool. D) prevents unhealthy people from "selecting out," to the detriment of healthy people. E) increases the amount of information available to insurers about the population.
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Fill in the blank(s) with the appropriate word(s).
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a. to make sure all people have equal access to goods b. to produce and distribute goods and services c. to give all producers the same access to consumers d. to make sure people are paid for their labor