Asked by Jacob Franks on Jun 22, 2024

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The law of supply and demand plays little role in controlling health care costs in the United States because

A) doctors, not consumers, largely control what health care services consumers purchase.
B) the United States needs more doctors.
C) of the DRG system.
D) of the high proportion of doctors who are primary care providers.
E) none of the above

Law of Supply and Demand

An economic principle stating that the price of a good or service is determined by its availability (supply) and the desire for it (demand), assuming all else being equal.

DRG System

Diagnosis-related group system, a method used by healthcare providers to classify hospitalization costs and determine how much to reimburse for care based on the diagnosis.

Health Care Costs

refer to the expenses associated with the prevention, diagnosis, treatment, and management of illness and the preservation of mental and physical well-being.

  • Gain insight into the variables driving up healthcare costs in the United States.
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PV
pamela vigil

Jun 26, 2024

Final Answer :
A
Explanation :
Doctors, not consumers, largely control what health care services consumers purchase, which means that the usual market dynamics of supply and demand are altered. In many cases, patients rely on the expertise and recommendations of their doctors to make decisions about their healthcare, which can lead to an increase in demand for certain services regardless of price, thus not allowing the traditional law of supply and demand to effectively control costs.