Macroeconomics, 4e (Hubbard/O'Brien) Chapter 1 Economics: Foundations and Models 1.1 Three Key Economic Ideas 1) Recent changes occurring within the U.S. health care system, including lower insurance reimbursement rates, have resulted in A) a growing number of doctor's choosing to open private practices. B) more medical practices being owned by hospitals than by individual doctors. C) a majority of hospitals closing routine medical practices in order to focus only on emergency care facilities. D) a majority of doctors working directly for insurance companies. Answer: B Diff: 2 Page Ref: 3/3 Topic: Scarcity Learning Outcome: Micro 1: Identify the basic principles of economics and explain how to think like an economist AACSB: Reflective Thinking Special Feature: Chapter Opener: Why Are Some Doctors Leaving Practices? 2) In economics, choices must be made because we live in a world of A) unemployment. B) scarcity. C) greed. D) unlimited resources. Answer: B Diff: 1 Page Ref: 4/4 Topic: Scarcity *: Recurring Learning Outcome: Micro 1: Identify the basic principles of economics and explain how to think