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Government Programs Such as Medicare Substantially Subsidize Health Care Purchases

Question 105

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Government programs such as Medicare substantially subsidize health care purchases by some consumers in the U.S. economy. Who benefits from these subsidies? How do they affect the price of health care? If you are not a recipient of this program, are you made better or worse off by the subsidy? Explain.

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The subsidy will increase the price of h...

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