Suppose That in a Free Market, 2,000 Patients Purchase an Operation

question 160

Multiple Choice

Suppose that in a free market, 2,000 patients purchase an operation to receive an artificial heart at a price of $500,000 per operation.Without the heart, each patient will die.The government decides this price is too high and imposes a maximum price of $200,000.Everything else equal,

• A)more patients will now die.
• B)fewer patients will now die.
• C)more patients will now die only if the demand curve is vertical.
• D)more patients will now die only if the demand curve is horizontal.

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Definitions:

Conservation

A concept in cognitive development where a child understands that changing the form of a substance or object does not change its amount, overall volume, or mass.

Object Permanence

The understanding that objects continue to exist even when they cannot be seen, heard, or touched.

Reversibility

In cognitive psychology, the ability to recognize that actions can be reversed and objects can be returned to their original state.

Sensorimotor

Referring to the developmental stage in infants and toddlers where they explore the world and learn about it through their senses and motor activities.