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Question
When healthcare costs are paid for by
a. private insurance companies, the expenses are lower because the insurance company acts like a monopolist.
b. the government, the expenses are lower because the government acts like a monopolist.
c. the government through payroll taxes, the employer faces a disincentive to hire more workers.
d. the government, the expenses are higher because the government acts like a monopsonist.
e. private individuals, the expenses are higher because consumers are more responsive to the prices being charged.
Answer
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