1. What factors must exist for there to be an efficient market?
2. What does it mean when there is market failure? Give an example of market failure in the healthcare market?
3. What is the economic impact of government price controls? Provide an example of price controls in the healthcare area.
4. What economic rationale supports the government provision of health insurance to the poor?
5. What are the characteristics of a “public good”? Why is it difficult for a private company to provide a public good?
6. Do you think licensing of physicians increases quality of health care?
7. What is the impact of physician licensing on the quantity of physicians, does licensing increase or decrease the quantity?
8. What market failure does the regulation of nursing home quality issues address?
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Respond to the question below that has been assigned to you by this Saturday and then respond to TWO of your classmates responses (in an area different than your initial response) by next Tuesday. Please try not to replicate other’s responses and include the topic you are responding to at the beginning of your post.
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