The Effects of the National Health Care Program on Labor

question 214

Multiple Choice

The effects of the national health care program on labor markets will

• A) increase the quantity supplied of labor.
• B) decrease the quantity supplied of labor.
• C) increase the quantity demanded for labor.
• D) decrease the quantity demanded for labor.

---

Definitions:

Income Elasticity

A measure of how much the demand for a product changes with a change in consumers' income.

Completely Inelastic

A situation in which the demand or supply for a good or service is totally unresponsive to price changes.

Inelastic

Describes a condition where the demand or supply for a good or service is not significantly changed by changes in price.

Elastic

Elasticity in economics refers to the responsiveness of demand or supply to changes in price or income.