Which of the Following Is/are Possible Cause(s) of Rising Health

question 33

Multiple Choice

Which of the following is/are possible cause(s) of rising health care expenditures?

• A) people's preferences
• B) the falling cost of health insurance
• C) anecdotes about doctors who induce patients to spend less on medical care when they are young and healthy
• D) All of these answers are correct.
• E) None of these answers are correct.

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Definitions:

Equilibrium GDP

The level of real GDP at which aggregate supply equals aggregate demand, resulting in a stable economy without tendencies to change.

Recession

A fleeting period of economic diminution, involving a dip in trade and industry work, usually defined by a decrease in GDP over two following quarters.

Foreign Purchases Effect

The impact on a country’s balance of trade when its currency appreciates or depreciates, influencing the price of imports and exports.

Price Level

The general level of prices for goods and services in an economy.