1. Medicaid is?

a. a welfare program offering universal health insurance, some long term care and prescription drug coverage for seniors and the disabled.

b. a welfare program offering in-kind assistance to cover health-related expenses to low-income adults, children, pregnant women, the elderly and the disabled.

c. a welfare program offering partial health insurance, some long term care and prescription drug coverage for seniors and the disabled.

d. a welfare program offering cash assistance that can cover health-related expenses to low-income adults, children, pregnant women, the elderly and the disabled.

2. Consider the following statement: The government should provide health-care related assistance to low-income, disabled and elderly people.

The statement is?

a. A normative justification for Medicaid.

b. A positive justification for Medicaid.

c. Both a normative and positive justification for Medicaid.

d. Neither a normative nor a positive justification for Medicaid.

3. Consider the following statement: The government by providing health-care related assistance to low-income, disabled and elderly people is addressing the under-provision of health insurance caused by asymmetric information.

a. A normative justification for Medicaid.

b. A positive justification for Medicaid.

c. Both a normative and positive justification for Medicaid.

d. Neither a normative nor a positive justification for Medicaid.