Some economists have proposed making the tax treatment of employer-provided health insurance the same as the tax treatment of individually purchased health insurance and out-of-pocket health care spending.
Such changes would make it more likely that
A) insurance deductibles would decrease.
B) employers would provide more generous medical coverage to their employees.
C) consumers would pay prices closer to the actual costs for routine medical care.
D) the quantity of medical services demanded would increase.
Question 2
Shifts in the supply of oil have caused large changes in price since the 1970s because
A) both the supply of oil and the demand for oil are inelastic over short periods of time.
B) the supply of oil and the demand for oil are perfectly elastic over short periods of time.
C) the supply of oil is very inelastic while the demand for oil is very elastic over short periods of time.
D) the supply of oil is very elastic while the demand for oil is inelastic over short periods of time.
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