Economics for Healthcare Managers, Third Edition
3rd Edition
ISBN: 9781567936766
Author: Robert H. Lee
Publisher: Health Administration Press
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Question
Chapter 3, Problem 1E
To determine
Necessity of health insurance.
Expert Solution & Answer
Explanation of Solution
Health insurance pays the health services of the buyer, that is, the insurance carrier will cover for the charges incurred by the buyer for the medical treatment. Health insurance plays an important role in healthcare. This is because those who have no health insurance will get only least health care and it will worsen their health. Another benefit of health insurance is that nowadays, the medical care expense is increasing, so that health insurance will facilitate health care affordable and also, it will help the people in emergency situations. The importance of health insurance can be listed as follows:
- 1. Health insurance provides better healthcare.
- 2. Health insurance facilitates healthcare affordable and guarantees timely care.
- 3. Health insurance will help at the time of emergency.
- 4. Health insurance will prevent the people from increasing the cost of health care.
Economics Concept Introduction
Health insurance: Health insurance refers to an insurance that covers all the charges incurred by the buyer for the medical treatment.
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Euros per U.S. Doler
Consider the model below, showing the supply and demand curves for the exchange market of U.S. Dollars and Euros. If
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1.10-
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0.90
0.80-
0.70
0.60
0.50-
0.40-
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E
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O It will decrease the demand for Dollars and increase the supply, so the exchange rate decreases, and the quantity traded increases.
It will increase the demand for Dollars and decrease the supply, so the exchange rate decreases, and the quantity traded increases.
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Euros par US
alar
1.10
1.00
0.90-
E
0.80-
0.70
0.60
0.50
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0.20
47 48 49 50 51 52 53 54 55 56
Quantity of US Dollars traded for Euros
(trillions/day)
It will increase the demand for Dollars and decrease the supply, so the exchange rate decreases, and the quantity traded increases.
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is unknown.
O It will increase the demand for Dollars and decrease the supply, so the exchange rate increases and the impact on the quantity traded
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O It will decrease the demand for Dollars and increase the supply, so the exchange rate decreases, and the quantity traded increases.
Question 22
5 pts
1. Based on the video, answer the following questions.
• What are the 5 key characteristics that differentiate perfect competition from monopoly? Based on the video.
• How does the number of sellers in a market influence the type of market structure? Based on the video.
• In what ways does product differentiation play a role in monopolistic competition? Based on the video.
• How do barriers to entry affect the level of competition in an oligopoly? Based on the video.
• Why might firms in an oligopolistic market engage in non-price competition rather than price wars? Based on the video.
Reference video:
https://youtu.be/Qrr-IGR1kvE?si=h4q2F1JFNoCI36TV
Chapter 3 Solutions
Economics for Healthcare Managers, Third Edition
Knowledge Booster
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