Use the Following to Answer Question(s): Third-Party Payers

Multiple Choice

Use the following to answer question(s) : Third-Party Payers

-(Exhibit: Third-Party Payers) Suppose insurance lowers the price consumers pay to $20 per visit.Compared to the situation without insurance, this would:

A) reduce the equilibrium price to $20.
B) reduce the quantity demanded to 2 million visits per week.
C) increase the quantity demanded to 3 million visits per week.
D) do none of the above.