Economic Theory Indicates That as a Larger Share of Medical

question 180

Multiple Choice

Economic theory indicates that as a larger share of medical services are paid for by a third party (for example, insurance companies or the government) rather than directly by the consumer,

• A) consumers will have a stronger incentive to economize.
• B) consumers will have a weaker incentive to economize and the prices of medical services will rise more rapidly than would otherwise be the case.
• C) consumers will have a weaker incentive to economize, but medical service suppliers will have a stronger incentive to keep prices low.
• D) the suppliers of medical services will have more incentive to economize.

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Definitions:

Positive Symptoms

Symptoms of mental illness that are characterized by the presence of unusual behaviors or feelings, such as hallucinations or delusions, primarily in context with schizophrenia.

Emotional Blunting

A reduction in the intensity of an individual's emotional response, often a side effect of psychiatric medication.

Hallucinations

Perceptions in the absence of external stimuli that have qualities of real perception, commonly associated with mental disorders or neurological conditions.

Bizarre Behaviors

Actions that are extremely unusual or atypical, often indicating underlying psychological or neurological disorders.