Which of the following is an example of moral hazard?
A. A college student drinking alcohol and partying instead of studying.
B. A homeowner with fire insurance not clearing bush around their property.
C. A chronically sick person using hospital services.
D. A chronically sick person buying more health insurance than average.
Answer: B
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If there is an advancement in the technology used to produce a product, what is the likely effect it may have on the supply?
A) The company would not change its manufacturing. B) It would increase the supply. C) It would decrease the supply. D) More people would be needed to produce the product.
If individuals start paying off the large amount of credit card debt they now hold,
A) the supply of loanable funds will shift rightward. B) the supply of loanable funds will shift leftward. C) the demand for loanable funds will shift rightward. D) the demand for loanable funds will shift leftward. E) an excess demand for loanable funds emerges and persists.
Which of the following illustrates government acting as a referee?
a. taxing high income persons b. enforcing contract provisions between buyer and seller c. buying new weapons for defense d. mailing checks to social security recipients e. collecting data on imports and exports
In 2016, ________ of the uninsured were younger than age 35
A) about 10 percent B) less than one-third C) over half D) almost 85 percent