The Total Amount That the U

question 63

Multiple Choice

The total amount that the U.S. government spends to support a covered type of health care service under the Medicare system equals

• A) the per-unit subsidy provided to producers of that service times the quantity of the service demanded by consumers at a below-equilibrium out-of-pocket price of the service.
• B) the per-unit subsidy provided to producers of that service times the equilibrium quantity of the service demanded at the market clearing price that would arise in the absence of Medicare.
• C) the below-equilibrium, out-of-pocket price that consumers pay for the service times the quantity of the service provided by producers at that out-of-pocket price.
• D) the below-equilibrium, out-of-pocket price that consumers pay for the service times the quantity of the service demanded by consumers at that out-of-pocket price.

---

Definitions:

Defense Mechanisms

Mental techniques employed by the subconscious mind to manipulate, deny, or alter reality in order to shield against feelings of worry and impermissible desires.

Unconditional Positive Regard

Accepting and respecting others as they are without judgment or evaluation.

Empathy

A feeling of oneness with the emotional state of another person.

Factor Analysis

A statistical method used to identify underlying variables, or factors, that explain the pattern of correlations within a set of observed variables.