Hillary Has an Initial Endowment of $500 and Is Interested

question 23

Multiple Choice

Hillary has an initial endowment of $500 and is interested in two things: how many visits she can make to the doctor and how much money will be left over to spend on other things.When a trip to the doctor costs $50, Hillary sees the doctor 7 times.After health care reform, a visit to the doctor will cost $10 but her taxes will rise by $360.

• A)Hillary will be made better off by health care reform.
• B)Hillary will be made worse off by health care reform.
• C)We cannot tell how health care reform will affect Hillary.
• D)Hillary violates the Weak Axiom of Revealed Preference.
• E)Hillary violates the Strong Axiom of Revealed Preference.

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Definitions:

Townhouses

A type of terraced housing with multiple floors, sharing one or two walls with adjacent properties, usually found in urban areas.

Apartments

Apartments are individual units within a larger residential building or complex, offering living space for rent or purchase, typically including amenities such as utilities and maintenance services.

Eastern European Jews

denotes the Jewish communities that historically resided in Eastern Europe, often with unique cultural and religious identities.

Religious Persecution

The mistreatment or oppression of individuals or groups primarily because of their religious beliefs or affiliations.