Maximizing Total Economic Surplus as the First Social Goal and Equity

question 120

Multiple Choice

Maximizing total economic surplus as the first social goal and equity as the second means that

• A) when equity is considered,the surplus available is as large as possible.
• B) society is unconcerned with the problems of the underprivileged.
• C) society will become more materialistic.
• D) income inequality will rise.
• E) the rich get richer and the poor get poorer.

---

Definitions:

Subsidized Health Insurance

Subsidized health insurance is a health policy for which a government or organization bears a portion of the cost, making it more affordable for the insured.

Medicare

A federal program providing health insurance to people over 65 and certain younger people with disabilities.

Aged

Refers to the later stages of life, often implying a change in societal roles, physical ability, and social perceptions.

Taste-For-Discrimination Model

A theory that views discrimination as a preference for which an employer is willing to pay.