Eliminating Third-Party Payer Systems Is Most Likely to ________ the Quantity

question 56

Multiple Choice

Eliminating third-party payer systems is most likely to ________ the quantity of health care ________.

• A) increase; demanded
• B) decrease; demanded
• C) have no effect on; demanded
• D) increase; supplied

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Definitions:

Costs

The expenditure required to produce, acquire, or maintain a product or service, including materials, labor, and overhead expenses.

Absolute Advantage

The ability of an entity to produce a good or service more efficiently than its competitors, using fewer resources.

Comparative Advantage

The capacity for a person, company, or nation to generate a product or offer a service at a lesser opportunity cost compared to its rivals.

Opportunity Cost

The expense incurred by not choosing the second-best option available when a decision is made or an action is taken.