Skeleton notes 5 pg. 9-12

Question 1

Bednets for _______ increase a physical barrier against mosquitoes but also a benefit to the __________ when enough people use them, They are less likely to _________ malaria

Answer 1

malaria
community
contract

Question 2

________ helps people develop protective antibodies against a given infection. Similarly, it both helps the ________ against the infection but also increases __________ __________.

Answer 2

vaccines
individual
herd immunity

Question 3

A number of _________ behaviors create negative externalities. Over _________ of the following have direct impact on one’s health, often creating ____________ to society, one’s employer, one’s family, etc… these increase the demand for health services

Answer 3

unhealthy
consumption
external costs

Question 4

The increase in demand for health services increases the _________ of healthcare. The __________ benefits of usage is typically weighed over the _____________ to society.

Answer 4

costs
individual
external costs

Question 5

The overuse of _____________, resistance to these is becoming a very bad ________ externality that we face. Patients _______ antibiotics even if they are not effective,

Answer 5

antibiotics
negative
demand

Question 6

Patients _______ antibiotics even if they are not effective, while _________ have too often been willing to prescribe them when they are not called for.

Answer 6

demand
physicians

Question 7

Too often, perceived individual _________ is weighted over the large and growing ____________ to society.

Answer 7

benefit
external costs

Question 8

Is there a social cost or social benefit (or neither) to the consumption and production of junk food? What specific forms might these costs/benefits take?

Answer 8

Yes there is some kind of social cost for overconsumption -> it takes the form of diabetis, heart problems etc. The need for healthcare goes up and the price goes up.

Question 9

Is the consumption or production of junk food a negative or positive externality (or neither)? Why or why not?

Answer 9

Negative externality, consumption of it has a negative effect on the population

Question 10

Assuming that there is some externality, what is the policy that a government might try to implement? Is it being tried and is there any evidence that it is effective?

Answer 10

Pigouvian Tax –> fuidance that P up, Q down, but people substitute to other “delights”.
Regulation –> “ antibiotic resistance”, self regulation from physicians. Limits Q

Question 11

Is there a social cost or social benefit (or neither) to the usage of ITNs in areas with high rates of malaria? What specific forms might these costs/benefits take? Are there parallels to the use of vaccinations?

Answer 11

here is a social benefit, improved health for the population, lower healthcare costs, vaccinations have a similar benefitt to them

Question 12

Is the usage of ITNs a negative or positive externality (or neither)? Why or why not?

Answer 12

Positive externality, the benefits associated with ITN’s is greater than the costs associated with them

Question 13

Assuming that there is some externality, what is the policy that a government might try to implement? Is it being tried and is there any evidence that it is effective?

Answer 13

A government may offer free ITN’s to populations that are in need and cannot afford them. This would work to an extent but without education on the proper use and showing people the benefits of using ITN’s correctly people will not use them or use them improperly