If a government decides to provide health care free at the point of delivery, then:
Select ONE answer:
- the demand for health care will be perfectly elastic
- health care will become non-rival
- some form of rationing will have to be used in the allocation of health care
- there will be no opportunity cost involved in the supply of health care
Show your workings to arrive at your answer, and explain and justify your reasons:……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………
This multiple choice question is suitable for Economics KS5 classes.
The answer is 3
- The demand for health care would still fall should a higher price be charged.
- Health care will still be a rival.
- Correct: Demand will exceed supply so some method will have to be used to decide who will be treated
- There will be an opportunity cost as the resources which will be used could be utilised in producing other goods and services.
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