Figure 5-4
Figure 5-4 represents the market for medical services with and without insurance, and the effect of a third-party payer system on the demand for medical services.
-Refer to Figure 5-4.With insurance and a third-party payer system,what price do consumers pay for medical services?

Question

Figure 5-4
  Figure 5-4 represents the market for medical services with and without insurance, and the effect of a third-party payer system on the demand for medical services.
-Refer to Figure 5-4.With insurance and a third-party payer system,what price do consumers pay for medical services?

Quizplus · Accepted Answer

In a third-party payer system, consumers typically pay a lower out-of-pocket price for medical services, such as a copayment or deductible, which is often less than the actual cost of the service. Here, $25 is likely the copayment amount.

Figure 5-4 Figure 5-4 Represents the Market for Medical Services