Question

Question 12

Heart disease, certain cancers, respiratory ailments, diabetes, are illnesses that can mitigated by lifestyle choices and can reduce the burden on the health care system in the U.S. and make it less costly (all things being equal)

Question 12 options:

	True
	False

Question 13

Consumers desire goods and services based on tastes, income, substitute goods and complementary goods. If a trade embargo exists and tariffs are imposed these consumers will benefit from lower prices as most goods can be produced by any country to satisfy the demand of most consumers.

Question 13 options:

	True
	False

Question 14

Your friend Skippy says that you are engaged in rent seeking by transferring the payment risk associated with severe illnesses by being covered by your employers healthcare plan. He further states that subsidized medical programs are also a form of rent seeking by consumers

Question 14 options:

	True
	False

Answer 1

12). The diseases can be mitigated by the lifestyle choices and can also reduce burden on the health care system in the long run.

The correct option is (true).

13). The correct option is (true).

As we know that, the demand is influenced by many determinants as price, income, tastes and preference, substitutes and complementary goods. When their is less price than more goods are demanded.

14). The correct option is (true).

Subsidy is a type of rent seeking. The companies use get subsidy from the government for the product which it produces or increasing tariff rates by the government for its services, etc.

Hope you got the answer.

Kindly comment for further explanation.

Thanks ?