Suppose that a consumer has a health insurance program with $10 co-payment per doctor visit. If the consumer purchases 6 doctor visits and the bill charged by the doctor for 6 visits is $360, the cost per visit paid by a third party is:
A. $40.
B. $70.
C. $60.
D. $50.
Answer: D
You might also like to view...
An economy with an expansionary gap will, in the absence of stabilization policy, eventually experience a(n) ________ in the inflation rate, leading to a(n) ________ in output.
A. decrease; increase B. increase; increase C. decrease; decrease D. increase; decrease
The result of the Cutler-Reber study of different insurance plans was
A) increased moral hazard among the insured. B) increased adverse selection among the insured. C) asymmetric information was irrelevant among the insured. D) competition among the insured resulted in higher prices for insurance.
In the U.S. economy, the effect on federal tax revenues and spending of a decrease in employment is to:
a. cut tax revenues and raise expenditures. b. cut spending and raise tax revenues. c. raise both tax revenues and expenditures. d. cut both spending and tax revenues.
According to the data on real U.S. GDP,
a. economic growth has been irregular, with periodic downturns. b. economic growth has been consistent, with few downturns. c. economic growth has been extremely rapid, but with major collapses. d. economic growth has been elusive, but downturns have been eliminated.