Britain and Canada Impose Strict Limits on Reimbursements to Hospitals

question 61

Multiple Choice

Britain and Canada impose strict limits on reimbursements to hospitals and physicians as part of their universal "free" health care.This is a form of a:

• A)price floor leading to lengthy delays before receiving treatment.
• B)price ceiling leading to lengthy delays before receiving treatment.
• C)price floor leading to shorter waiting times.
• D)price ceiling leading to shorter waiting times.

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Definitions:

Tax Preference Items

Certain types of income, deductions, or credits that are treated favorably under the tax code to encourage specific activities or investments.

Nonrecourse Debt

A type of loan where the lender's recovery options in case of default are limited to seizing the collateral securing the loan, without pursuing further compensation from the borrower.

At-Risk

The term "at-risk" generally refers to the exposure to potential loss or damage, but in finance, it often involves the amount of money invested in a business venture to the extent that it can be lost.

Material Participant

A taxpayer involved in business operations on a regular, continuous, and substantial basis, according to IRS regulations.