You are a health economics consultant for a major political


1) It has been found that completed years of education at age 30 is a good predictor of whether an individual is a smoker at age 30. However, the same study found that completed years of education at age 30 was also a good predictor of whether someone was a smoker at age 16. In other words, individuals who had more years of education at 30 were less likely to be smokers (measured at either age 16 or 30). What does this result tell you about whether worse health habits are caused by education?

2) You are a health economics consultant for a major political campaign. Your client notes recent research that individuals in worse health tend to live further from health facilities. Therefore, building more health facilities in rural areas should improve overall health for those individuals. Do you think that this proposal is likely to be effective at improving overall US health?

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Business Economics: You are a health economics consultant for a major political
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