Microeconomics 2023 ch 7 – Flashcards
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Over the past 160 years in the United States, life expectancy
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has more than doubled
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On average, people in high-income countries ________than people in low-income countries
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are taller
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The average height of adult males in the U.S
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declined in the mid-1800s before beginning to rise again around 1890
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Between 1981 and 2009, the overall mortality rate in the u.s
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decreased by more than 25 percent
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In the US from 1981 to 2009, deaths from all of the follwing declined substantially except
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kidney disease
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In the U.S. from 1981 to 2009, deaths from diabetes increased largely due to the effects of
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increasing obesity
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The overall decline in death rates in the US since 1981 weas due to all of the following except
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decline in the population
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Better health allows people to work harder, which raises a countrys total income. This indicates that in effect, better health
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shifts out a countrys production possibilities frontier
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Changes in the health of the average person are an important indicator of changes in the standards of living
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true
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In the US in 2009, the percentage of people with private health insurance was about
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54%
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In the US inh 2009, the percentage of people without any form of health insurance was about
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17%
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In the us in 2010, the percentage of firms tha temployed more than 200 workers and offered health insurance as a fringe benefit to the workers were about
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99%
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Health insurance plans which typlically reimburse doctors maily by paying a flat fee per patient are know as
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HMO
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The health care system in Canado is referred to as _____ and is a system in which the government provides national health insurance to all Canadian residence
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a single-payer health care system
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The health care system in Japan is referred to as ____, under which every resident of Japan is required to enrolled in either a private or the government-provided health insurance program
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a universal health insurance system
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the health care system in the united kingdom is referred to ___, under which the governement owns most of the hospitals and employs most of the doctors
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socialized medicine
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Most doctors and hospitals operate as private businesses in all of the follwing countries except
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the united kingdom
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Health insurance typically pays for most preventative care procedures in all of the following countries except
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Japan
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In which of the following countries re substantial co-payments tupically required as a part of the health care system
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united states and japan
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The largest government-run health care system in the world, with 1.7 million emplyees, is in
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the united kingdowm
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typically, the higher the level of income per person in a country, the higher the level of spending per person on health care. This relationship between income and spending indicates that health care is a
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normal good
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in the u.s. health care spending per sperson based on income per person is ___________the average for most other countries
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significantly higher than
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Of the following high income countries, which has the lowest life expectqncy at birth
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United States
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Of the follwing high income countires which has the lowest mortality ratio for cancer
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United states
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A majority of people in the US have private health insurance
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True
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On average, people in the United States spend a greater percentage of their income on health care than do people in most other countries
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True
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What are the main sources of health insurance in the US
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Employer provided insurance 49%; Medicaid, VA, and othe rpublic insurance 17% medicare 12%, individual private insurance 5%, unisured 17%
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A key difficulty facing insurance companies is that people know more about their health than do insurnace companies, and tha tthose people who are seriously ill are the most likely to want to obtain health insurance. What is this phenomonenon called?
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asymmetric information
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An insurance company is likely to attract customers like Clancy who wants to purchase insurance because he knows better that the company that he is more like to make a claim on a policy. What is the term used to describe the situation above?
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adverse selection
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the term that is used to refer to a situation in which one party to an economic transaction has less information than the other party is
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asymmetric information
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which of the following parties is likely to have the most information about the health of an individual who is trying to purchase an health insurance policy
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the individual is applying for the health insurance policy
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What is the adverse selection
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it refers to the situation in which one party to a transaction takes advantage of knowing more than the other party to the transaction
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Consider a used car market in which half the cars are good and half are bad (lemons). A rational buyer in this market should
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offer to pay a price somewhere between the price she would pay for a good car and the price she would pay for a lemon
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Consider a used car market in which half the cars are good and half are bad (lemons). if buyers are rational, the prices being offered for used cars will result in
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a larger proportion of lemons being sold and consequently, producer surplus is increased.
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Consider a used car market in which half the cars are good and half are bad (lemons). Suppose the average price of a good car is $9000, and the average price of a lemon is $3000. If rational buyers are willing to pay $6000 for a used car, then sellers will agree to see mostly the lemons at this price. What is the term used to describe this situation
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adverse selection
