Defensive medicine refers to the idea that:
12. Defensive medicine refers to the idea that:
A. it is more cost-efficient to prevent illnesses than to cure
them.
B. physicians may require unnecessary testing as a means of
protecting themselves against malpractice suits.
C. doctors know much more about diagnosing and treating
illnesses than do health care consumers.
D. physicians do not advertise their services or fees.

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13. Economists argue that in treating patients:
A. physicians should use any test or procedures that might
help the patient.
B. health care should not be rationed by physicians because it
is an entitlement or right.
C. both benefits and costs should be taken into account by
physicians.
D. physicians should use any test or procedure whose marginal
benefit is positive.
14. If the top quintile (fifth) of all households receives
48 percent of total income and the lowest quintile receives 4
percent of total income, we can conclude that:
A. the resulting Lorenz curve will be a 45-degree straight
line.
B. the top quintile receives twelve times as much income as
the lowest quintile.
C. the middle quintile must receive 60 percent of all
income.
D. government must be subsidizing the top quintile.
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