One reason health insurance is very expensive is because
A) it is likely a nearly fair insurance policy.
B) it is subject to manipulation through market power.
C) the government doesn't regulate the industry enough.
D) it is likely an unfair insurance policy.
A
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A marginal benefit curve shows
A) the efficient use of resources. B) the quantity of one good that must be forgone to get more of another good. C) the quantity of one good that people are willing to forgo to get another unit of another good. D) there are increasing opportunity costs.
The impact of Hurricane Katrina on consumers in the economy was to make them very pessimistic about their future incomes. How does this increased pessimism affect the aggregate demand curve?
A) This will move the economy down along a stationary aggregate demand curve. B) This will move the economy up along a stationary aggregate demand curve. C) This will shift the aggregate demand curve to the left. D) This will shift the aggregate demand curve to the right.