Refer to the Table Shown That Depicts a Third-Party Payer

question 56

Multiple Choice

Refer to the table shown that depicts a third-party payer market. What is the price the supplier will charge for the quantity consumers demand if a $1 co-pay is established? $$\begin{array} { | c | c | c | } \hline \text { Price } & \text { Quantity Demanded } & \text { Quantity Supplied } \\\hline \$ 0 & 1,200 & 0 \\\hline \$ 1 & 600 & 150 \\\hline \$ 2 & 300 & 300 \\\hline \$ 3 & 0 & 450 \\\hline \$ 4 & 0 & 600 \\\hline \$ 5 & 0 & 750 \\\hline \$ 6 & 0 & 900 \\\hline \$ 7 & 0 & 1,050 \\\hline\end{array}$$

• A) $1
• B) $2
• C) $4
• D) $7

---

Definitions:

Indirect Exporting

A method of entering foreign markets by selling products to intermediaries who then resell them to the final consumers in the target market.

Marketing Representative

an individual who promotes and sells products or services on behalf of a company, often aiming to increase brand awareness.

Dumping

The selling of goods in a foreign country at a price below the price charged for the same goods in the domestic market.

Less Than Fair Value

This term refers to selling goods in another country at a price lower than the normal value in the exporter's domestic market, often considered in trade disputes.