If new legislation allowed patients to sue their health-maintenance organization (HMO),we would expect the supply curve for HMO-provided health care to shift to the right and the price of such coverage to fall.

Question

Quizplus · Accepted Answer

Allowing patients to sue their HMO would increase the risk and cost for these organizations, which would likely lead to higher prices for coverage and/or a reduction in supply, rather than an increase in supply and decrease in price.

If New Legislation Allowed Patients to Sue Their Health-Maintenance Organization