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The RAND Health Insurance Study

Question 8

Multiple Choice

The RAND Health Insurance Study


A) examined cross-section data to estimate the demand function for medical care.
B) was the most extensive controlled experiment in health insurance ever conducted in the United States.
C) like most economic studies, was based on individual decisions in voluntarily choosing health insurance coverage.
D) was flawed due to severe self-selection bias.
E) was set up to study medical outcomes when individuals were free to choose the type of health coverage they desired.

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