As Americans have become more health conscious, rules about food labels have become more complex and stringent. This is an example of government acting as

Consider the change in the price of a book depicted in the above figure. The original budget line is BC. The new budget line is BD. As a result of this price change, the income effect can be represented by a movement from

A) point E to point F. B) point G to point A. C) point G to point F. D) point A to point F.

Individuals who face greater risks

a. are more likely to purchase insurance b. are less likely to purchase insurance c. are neither more nor less likely to purchase insurance d. are risk neutral