Question

A number of cities in the United States have begun providing "free" needle exchange programs for drug users, especially among their homeless populations. Generally, it is believed that the sharing of dirty needles has increased the incidence of the HIV virus among drug users. Are these needle exchange programs really "free?"

What costs are borne by various individuals and groups in these free programs? Why are individuals and groups willing to bear the costs associated with these programs? (What are the benefits?) In answering this question, you should consider how the concept of opportunity cost described in Chapter 2 of your textbook applies to this question. You should also indicate whether your answer falls in the realm of positive or normative statements and explain why.

Answer 1

Answer

Opportunity cost is something which is sacrificed in order to get something else. Sharing dirty needles can cause the AIDS and treatment of AIDS are very costly. So an individual can sacrifice that cost of treatment by taking part in the needle-free exchange program. So, the needle exchange program is not free at all.

Positive statements are objective statements that can be rejected, tested or amended by referring to the present evidence.

Normative statements are subjective statements that mean they convey value judgments.

My answer falls into a realm of positive statements. Engaging in the program leads to falling in the occupancy rate in the hospital. By engaging in this program an individual will be able to avoid the cost of their AIDS treatment and we are sure about that.