Economic Theory Indicates That the Growth of Subsidies to Healthcare

question 64

Multiple Choice

Economic theory indicates that the growth of subsidies to healthcare consumers and accompanying expansion in third-party payments will

• A) place downward pressure on the prices of healthcare services.
• B) lead to higher healthcare prices.
• C) increase the incentive of consumers to economize on their purchases of healthcare services.
• D) increase the incentive of healthcare providers to provide their services at economical prices.

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Definitions:

Perfectionist

An individual who strives for flawlessness and sets excessively high performance standards, often accompanied by overly critical self-evaluations.

Maturation

The process by which an individual or organism develops over time, encompassing physical, mental, and emotional growth.

Automatic

Operations or processes that are performed with little or no conscious thought or effort.

Effortless

Something that is achieved with remarkable ease, often appearing natural or without hard work.