If the Price of Visiting a Doctor Were Fixed Below

question 328

Multiple Choice

If the price of visiting a doctor were fixed below the current price,then we would expect

• A) an increase in the number of visits people want to make and an increase in the number of visits health care providers want to provide.
• B) an increase in the number of visits people want to make and a decrease in the number of visits health care providers want to provide.
• C) a decrease in the number of visits people want to make and an increase in the number of visits health care providers want to provide.
• D) a decrease in the number of visits people want to make and a decrease in the number of visits health care providers want to provide.

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Definitions:

Automatic Stabilizer

Measures and plans intended to balance the ups and downs in a country's economy without needing more government involvement.

Welfare Payments

Government-provided financial aid to individuals or families, intended to support those who are unable to support themselves.

Income Tax

A tax levied by governments on individuals' or entities' income, including earnings from employment, business profits, and investments.

Automatic Stabilizers

Economic policies and programs, such as unemployment insurance and taxation, designed to automatically adjust to help stabilize an economy.