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problem 1: Which are more elastic, dental visits or visits for treatment of diabetes?  Physician visits or hospital days? Orthopedics or Psychiatry? Why?

problem 2: If the price of office visits raises from $20 to $22 and the number of visits per family per year declines from 12 to 10, what is price elasticity of demand?

problem 3: Dr. Old needs that all services are paid for at time of treatment, in cash.  If he decides to let patients to pay with credit cards, will this raise or reduce demand?  Will it raise or reduce price elasticity?

Macroeconomics, Economics

  • Category:- Macroeconomics
  • Reference No.:- M910595

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