B. Compute the level of per capita health care spending when per capita income takes on the following dollar values: 0; 1,000; 2,000; 4,000; and 6,000.

Per Capita Income Spending

$0 _______________

$1,000 _______________

$2,000 _______________

$4,000 _______________

$6,000 _______________

C. Using the resulting values for per capita health care spending in part B, graph the associated health care expenditure function.

\fm E = 500 + 0.2Y E = 250 + 0.2Y 500 250 0 YE = 500 + 0.1Y E = 250 + 0.1Y 500 250 0