Which of the Following Is an Example of an Efficiency-Equity

question 185

Multiple Choice

Which of the following is an example of an efficiency-equity trade-off faced by economic agents?

• A)According to an article by in the American Journal of Public Health by Edward Kaplan and Michael Merson of Yale University School of Medicine, the federal government's current method of allocating HIV-prevention resources is not cost-effective. Instead of allocating resources to states in proportion to reported AIDS cases, resources should flow first to those activities that prevent more infections per dollar and then to less and less effective combinations of programs and populations until funds are exhausted, even if it means that some populations would be left without any prevention services.
• B)Concerned about the falling birth rate, the French government has pledged more money for families with three children, in an effort to encourage working women to have more babies.
• C)Some U.S. colleges are actively recruiting foreign students for their technology-based programs.
• D)All New York City art museums are considering adopting a free-admission policy for local residents one weekend per month.

Identify and correct misspelled medical terms.

Apply knowledge of suffixes to understand medical procedures and conditions.

Understand the concept of budget lines and how changes in income and prices affect consumer choices.

Interpret the effects of special programs like food stamps on consumer purchasing power and choices.

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Definitions:

Direct Write-Off Method

A method of accounting for bad debts that charges the amount of an outstanding account directly to the expense account at the time it is deemed uncollectible.

Net Realizable Value

The estimated selling price in the ordinary course of business minus the estimated costs of completion and the estimated costs necessary to make the sale.

Estimated Future Returns

Projections or forecasts about the potential gains or incomes from investments over a future period.

Sales Discounts

A reduction in the price of goods or services offered to customers, usually to prompt early payment or reward bulk purchases.