A New Government Program Reduces the Cost of a College

question 74

Multiple Choice

A new government program reduces the cost of a college education at public universities by 50 percent.In the long run,this can be expected to ________ long-run aggregate supply and ________ aggregate demand.

• A) increase; have no effect on
• B) decrease; increase
• C) decrease; decrease
• D) increase; increase
• E) have no effect on; have no effect on

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Definitions:

Health Insurance

A type of insurance coverage that pays for medical and surgical expenses incurred by the insured.

Insurable Interest

A requirement in insurance contracts that the policyholder must be at risk of suffering a genuine loss or damage if the insured event occurs.

Economic Loss

The monetary loss suffered by an individual or entity, which can result from a wide range of factors, including breach of contract, negligence, or market fluctuations.

Title Insurance

Insurance that protects real estate owners and lenders against any property loss or damage they might experience because of liens, encumbrances, or defects in the title to the property.