rue/False (10 points): please provide an answer and an explanation 1) T/F One of the reasons that health care is different from other sectors of the economy is that the public sector is not very involved with health care. 2) T/F The Grossman model of health is a model predicting that people consume more medical care if they have a taste for health care. 3) T/F The RAND Health Insurance Experiment showed us that the generosity of health insurance coverage does not affect use of medical care. 4) T/F The RAND Health Insurance Experiment showed us that the generosity of health insurance coverage does not affect overall health on average. 5) T/F Health economists think that demand for treatment of lung cancer will be more price elastic than demand for treatment of acne. Definitions (15 points): define and give an example (for each) 6) Asymmetric information 7) Physician induced demand 8) Community rating 9) QALY 10) Payers (payors) Short Answer (20 points) 11) Full price of an office visit is: ! = a. Which person would have a higher price elasticity of demand with respect to : a high paid executive or a minimum wage hourly worker? Explain you