Some economists and policymakers who are in favor of government-provided health care believe that providing health care will generate
A) additional moral hazard.
B) positive externalities.
C) greater asymmetric information.
D) more adverse selection.
Answer: B
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Economics
a. is a narrowly focused discipline. b. is a broad-ranging discipline. c. concerns itself only with the U.S. economy. d. says little about "everyday life." e. deals with minor problems.
If orange juice and apple juice are substitutes, an increase in the price of orange juice will shift the demand curve for apple juice to the left
a. True b. False Indicate whether the statement is true or false
If a country allows trade and, for a certain good, the domestic price without trade is higher than the world price, which of the following conclusions can be made?
What will be an ideal response?
A price floor of $23 placed on the market in the graph shown:
A. is non-binding, and does not affect the market. B. is binding, and causes a surplus. C. is binding, and causes a shortage. D. is non-binding, and does not prevent the market from reaching equilibrium.