A clinic receives a per-visit payment of $40. It has an upward sloping supply curve. Indicate the net effect on the quantity of visits supplied if the following occurs:
A) The wage rates for the clinic nursing staff increase.
B) The fixed overhead costs (rent, electricity) increase.
C) The clinic patients become sicker.
D) The clinic increases productivity.
E) The clinic decides to increase "quality" (defined as a more thorough examination for each patient.

Question

A clinic receives a per-visit payment of $40. It has an upward sloping supply curve. Indicate the net effect on the quantity of visits supplied if the following occurs:
 A) The wage rates for the clinic nursing staff increase.
 B) The fixed overhead costs (rent, electricity) increase.
 C) The clinic patients become sicker.
 D) The clinic increases productivity.
 E) The clinic decides to increase "quality" (defined as a more thorough examination for each patient.

Quizplus · Accepted Answer

The Answer of A clinic receives a per-visit payment of $40. It has an upward sloping supply curve. Indicate the net effect on the quantity of visits supplied if the following occurs:
 A) The wage rates for the clinic nursing staff increase.
 B) The fixed overhead costs (rent, electricity) increase.
 C) The clinic patients become sicker.
 D) The clinic increases productivity.
 E) The clinic decides to increase "quality" (defined as a more thorough examination for each patient.

A Clinic Receives a Per-Visit Payment of $40