Increasing Health Spending and Economic Growth. Analyze how the following factors associated with increased spending on health care might affect economic growth. (Related to Application 3 on page...

Increasing Health Spending and Economic Growth. Analyze how the following factors associated with increased spending on health care might affect economic growth. (Related to Application 3 on page 350.)

a. With increased longevity, workers will need to postpone their retirement in order to save more for old age.

b. Households may cut down on purchases of consumer durables to spend more on health care.

c. Households may reduce their savings in order to spend more on health care.

d. New and expensive technologies allow people to live longer.