2. What experience have you or a family member (or someone else you know) had with the automobile insurance claims process? What if anything might have been done differently or better? 3. Michael Howittt of Berkley, Michigan, recently had his gallbladder removed. His total bill for this surgery, which was his only health care expense for the year, came to $13,890. His healthcare insurance plan has a $500 annual deductible and an 80/20 co-insurance provision. The cap on Michael's coinsurance share is $2,000. a.) How much of the bill will Michael pay? b.) How much of the bill will be paid by Michael's insurance? 4. A government starts off with a total debt of $3.5 billion. In year one, the government runs a deficit of $400 million. In year two, the government runs a deficit of $1 billion. In year three, the government runs a surplus of $200 million. What is the total debt of the government at the end of year three? 5. If a government runs a budget deficit of $10 billion dollars each year for ten years, then a surplus of $1 billion for five years, and then a balanced budget for another ten years, what is the government debt? 6. Suppose that income were taxed at a rate of 7% for amounts up to $100,000 and 5% for anything over that amount. Would this tax be regressive or progressive? Why? 7. Economist Arthur Laffer famously pointed out that, in some cases, income tax revenue can actually go up when tax rates go down. Why might this be the case? 8. Specify whether expansionary or contractionary fiscal policy would seem to be most appropriate when a stock market collapse that hurts consumer and business confidence. Sketch a diagram using aggregate demand and aggregate supply curves to illustrate your answer. do a future plan that takes insurance into consideration Explain risk management and its importance. Identify types of risk and how you can manage them. Determine appropriate insurance coverage by investigating options for property, vehicle, life, health and disability. What types of insurance make the most sense for you at this stage in your life? How can insurance impact your taxes? Consider the followingo Life insurance proceedso Healthcare reimbursemento Flexible spending accounts (FSA's)o Disability premiums/proceeds Explain the difference between short-term, intermediate-term, and long-term disability insurance. At this stage of your life, do you have a need (or want) for all three? Why or why not? Do you have any barriers keeping you from having these benefits? You have been an employee for the last 10 years. Your employer has provided you with health insurance (coverage for just yourself), group term life insurance, and long-term disability coverage. Your employer has just been acquired by another organization and that acquiring company has decided to keep the personnel of your location as independent contractors, not employees, so it will not provide benefits. This means you have lost all your benefits in the next 90 days. How will you go about investigating and finding appropriate coverage based on your current family situation and the role that insurance plays in your financial plan? Describe the process of shopping for insurance and benefit plans. How would you research your options? Explain how you would choose the best options for yourself (and your family, if applicable) and determine what you could afford. You may refer to the "IDEAS Process" to help guide your critical thinking for this process. Be sure that you are reflecting on the entire process and be sure to ask yourself the following questions: Did you look at multiple solutions to the problem? What relevant information about the problem did you gather in order to make your decision? What factors contributed to your choice? Are you willing to make adjustments or revise your decision if outcomes are not attained? How will this choice ultimately affect your monthly personal budget and any short term/long term budgetary goals that you may have set for yourself? - About 85% of federal spending goes to the following areas, most of which are widely supported by the American public: Social Security and unemployment, Medicare and health, the military, interest on the debt, and veteran's benefits. Is it possible to balance the budget without making major cuts in these areas? If not, what trade-offs do politicians face when making cuts to popular programs? Who benefits from the cuts and who is hurt? - the inflation problem in the United States has been partly blamed on too much government spending during the pandemic. Do you believe the government spent too little, too much, or just about the right amount during the pandemic? Why do you think so?