Question: The Affordable Care Act ( a . k . a . Obamacare ) i s one o f the largest government programs ever implemented. I

The Affordable Care Act (a.k.a. "Obamacare")is one of the largest government programs ever implemented. It uses
government subsidies to try to increase the percentage of Americans covered by health insurance. Which of the following
statements most acurately describes what is necessary for this program to have a positive multiplier effect on economic output?
Government spending on the Affordable Care Act
cannot lead to a multiplier effect because only increases in private sector spending can create jobs.
cannot lead to a multiplier effect because all healthcare subsidies must be paid for by higher taxes.
can lead to a multiplier effect but only ifit creates a net injection of expenditures into the economy.
can lead to a multiplier effect but only if the number of insured increases once the act is passed.
The Affordable Care Act ( a . k . a . "Obamacare"

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!