An Insurance Company Is Interested in the Most Effective Treatment

question 64

Multiple Choice

An insurance company is interested in the most effective treatment for acute unipolar depression.Based on recent research, the best advice to the company is, ____.

• A)"Medication, interpersonal psychotherapy, and cognitive-behavioral treatments are all equally effective."
• B)"Interpersonal psychotherapy is far more effective than either medication or cognitive-behavioral therapy."
• C)"Belief in treatment is enough-even placebo pills are as effective as psychotherapy or medication."
• D)"Only antidepressant medication is effective."

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Definitions:

Balance Of Trade

The difference between a country's exports and imports of goods.

Comparative Advantage

An economic principle that states that an entity (e.g., country, region, or individual) can produce a good at a lower opportunity cost compared to others, leading to more efficient trading possibilities.

Absolute Advantage

The capacity of a nation, person, corporation, or area to generate a product or offer a service at a per-unit cost that is cheaper than the per-unit cost at which any other party produces the same product or service.

Frederic Bastiat

A French economist, writer, and prominent member of the French Liberal School in the 19th century, known for his advocacy of free trade and the critique of socialism.