Question

2. Some people believe cigarette and alcohol advertisements should be banned completely in the United States....

2. Some people believe cigarette and alcohol advertisements should be banned completely in the United States. If this were the case, what would likely happen to the shapes of the total and marginal product for medical care? Show this with a graph

Homework Answers

Answer #1

The banning of cigarette and alcohol advertisements would lead to better health of the people. This would lead to the total product curve to shift downwards and flattens out.

The original curve is shown below:

Marginal product curve for medical care shifts to the left.

The original curve is shown below:

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