Sahar does not have medical insurance and pays all her medical bills out of pocket. Her demand schedule for chiropractic visits is shown in the table below.
-With insurance, at the $50 office visit price, the welfare loss to society due to moral hazard (if any) in Sahar's case is
A) $400.
B) $320.
C) $180.
D) $80.
E) $0.
Correct Answer:
Verified
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